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Examine the industry average ratios given in problems 17.4 and 17.5. Explain why the ratios are different between the managed care and nursing home industries.
| Examine the industry average ratios given in problems 17.4 and 17.5. Explain why the ratios are | ||||||||
| different between the managed care and nursing home industries. | ||||||||
| Ratio | Managed Care | Nursing Homes | ||||||
| Total Margin | 3.80% | #REF! | ||||||
| Return on Assets (ROA) | 8.00% | #REF! | ||||||
| Return on Equity (ROE) | 25.50% | #REF! | ||||||
| Current Ratio | 1.3 | #REF! | ||||||
| Days cash on hand | 41 days | #REF! | ||||||
| Average Collection Period | 7 days | #REF! | ||||||
| Debt Ratio | 69% | #REF! | ||||||
| Times-interest-earned (TIE) Ratio | 2.8 | #REF! | ||||||
| Fixed Asset Turnover Ratio | 5.2 | #REF! | ||||||
| Total Asset Turnover Ratio | 2.1 | #REF! | ||||||
| Debt to Equity Ratio | 2.2 | #REF! | ||||||
| Equity Multiplier | 3.2 | #REF! | ||||||
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The differences in the ratios between managed care and nursing home industries can be attributed to various factors such as business models operationa...
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Gapenski's Healthcare Finance An Introduction To Accounting And Financial Management
Authors: Kristin L. Reiter, Paula H. Song
7th Edition
1640551867, 9781640551862
