Please answer questions $1-9$ below showing all calculations$/$formulas$.$ Assignments submitted without formulas$/$ calculations will result in a zero grade.

Please read the question carefully and select the correct year the question is referring to$,$ also, please correctly label your answer $($percent$,$ dollar$).$

You will need your textbook for this assignment. Examples and formulas for this assignment can be found in chapter $12$ of your textbook.

Please read the question carefully and select the correct year the question is referring to$,$ also, please correctly label your answer $($percent$,$ dollar$).$

You will need your textbook for this assignment. Examples and formulas for this assignment can be found in chapter $12$ of your textbook.

The table below provides the income statement and balance sheet for the Hale Medical Group.

Profitability Ratio:

$1.$ What is Hale Medical Groups Operating Margin for $2021?$

$2.$ What is Hale Medical Groups Operating Margin for $2022?$

$3.$ Is the change in operating margin favorable or unfavorable from $2021$ to $2022?$

Liquidity Ratio:

$4.$ What is Hale Medical Groups Current Ratio for $2022?$

$5.$ What does days cash on hand mean?

Capital Structure Ratio:

$6.$ What is Hale Medical Groups Times Interest Earned for $2022?$

$7.$ Does Hale Medical Group have sufficient resources to meet required interest payments? Yes or no$,$ please explain.

Turnover Ratio:

$8.$ What is Hale Medical Groups Total Asset Turnover in $2021?$

$9.$ What does Total Asset Turnover ratio measure?

Hale Income Statement

For the year ending:

December

December

Revenue

$31,2021$

$31,2022$

Net Patient Service Revenue

$$5,000,000$

$$5,200,000$

$$Total Operating Revenue

$$5,000,000$

$$5,200,000$

Operating Expenses

Salaries and wages

$$3,500,000$

$$3,670,000$

Fringe benefits

$600,000$

$660,000$

Supplies

$500,000$

$510,000$

$$Depreciation

$30,000$

$30,000$

$$Interest

$25,000$

$30,000$

Total Operating Expenses

$$4,655,000$

$$4,900,000$

Income from Operations

$$345,000$

$$300,000$

Nonoperating Gains $($Losses$)$

$$Investment Income

$$10,000$

$-$$$15,000$

Net Nonoperating Gains

$$10,000$

$-$$$15,000$

Net Income

$$355,000$

$$285,000$

Hale Balance Sheet

December

December

Assets

$31,2021$

$31,2022$

Current Assets

$$Cash and cash equivalents

$$300,000$

$$400,000$

$$Accounts receivable $($net$)$

$450,000$

$490,000$

$$Inventories

$35,000$

$40,000$

$$Prepaid Insurance

$10,000$

$12,000$

Total Current Assets

$$795,000$

$$942,000$

Property, Plant, & Equipment

$$Equipment $($net$)$

$$200,000$

$$220,000$

$$Buildings $($net$)$

$375,000$

$350,000$

$$Land

$200,000$

$200,000$

Net Property, Plant, & Equipment

$$775,000$

$$770,000$

Investments

$$32,000$

$$42,000$

Total Assets

$$1,602,000$

$$1,754,000$

Liabilities

Current Liabilities

Current maturities of LT debt

$$40,000$

$$40,000$

Accounts payable

$25,000$

$30,000$

$$Total Current Liabilities

$65,000$

$70,000$

Long$-$Term Debt

$477,000$

$339,000$

Less Current maturities of LT debt

$-40,000$

$-40,000$

Net Long$-$Term Debt

$$437,000$

$$299,000$

$$Total Liabilities

$$502,000$

$$369,000$

Net Worth

$$1,100,000$

$$1,385,000$

Total Liabilities and Net Worth

$$1,602,000$

$$1,754,000$