Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Green Valley Nursing Home, a for-profit, long-term care facility had the following financial performance for 2017 and 2016. Determine and describe the financial strengths
Green Valley Nursing Home, a for-profit, long-term care facility had the following financial performance for 2017 and 2016. Determine and describe the financial strengths and weaknesses for Green Valley in terms of liquidity, profitability, debt management, asset management. Liquidity Profitability Debt Management Asset Management Financial ratio Total margin ROA ROE Current ratio Days cash on hand Average collection period Debt ratio Debt to equity ratio Times interest earned Fixed asset turnover ratio Total asset turnover 2017 1.77% 2.3% 16.2% 1.7 12.9 days 24.9 days 85.7% 6 1.4 1.7 1.31 2016 0.9% 1.5% 12.1% 2.5 25 days 18 days 75% 3 2.1 1.2 1.1 Industry Average 3.5% 5.2% 13.1% 2.0 22 days 19 days 71% 2.5 2.6 1.4 1.5 Green Valley Nursing Home, a for-profit, long-term care facility had the following financial performance for 2017 and 2016. Determine and describe the financial strengths and weaknesses for Green Valley in terms of liquidity, profitability, debt management, asset management. Liquidity Profitability Debt Management Asset Management Financial ratio Total margin ROA ROE Current ratio Days cash on hand Average collection period Debt ratio Debt to equity ratio Times interest earned Fixed asset turnover ratio Total asset turnover 2017 1.77% 2.3% 16.2% 1.7 12.9 days 24.9 days 85.7% 6 1.4 1.7 1.31 2016 0.9% 1.5% 12.1% 2.5 25 days 18 days 75% 3 2.1 1.2 1.1 Industry Average 3.5% 5.2% 13.1% 2.0 22 days 19 days 71% 2.5 2.6 1.4 1.5
Step by Step Solution
★★★★★
3.43 Rating (181 Votes )
There are 3 Steps involved in it
Step: 1
Financial Strengths and Weaknesses Analysis for Green Valley Nursing Home 1 Liquidity Strength Green Valleys current ratio has improved from 25 in 201...Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started