Problem 17.3 for the following ratios:

total margin; operating margin; return on assets; return on equity; days cash on hand; debt ratio; debt to equity; debt to capitalization; fixed asset turnover; total asset turnover; days in patient accounts receivable; average age of plant.

There is no need to focus on any other ratios.

Prepare a side by side trend analysis showing 2014 and 2015 ratios, as well as industry averages for each particular ratio.

Can someone help? Please post the formulas used. The problem is as followed:

$ 6,474 Cash flows from operating activities: Operating income Adjustments: Depreciation Increase in accounts receivable Increase in inventories Decrease in accounts payable Increase in accrued expenses Net cash flow from operations 4,130 (1,102) (195) (438) EXHIBIT 17.1 Riverside Memorial Hospital: Statement of Cash Flows, Year Ended December 31, 2015 (in thousands) 229 $ 9,098 Cash flows from investing activities: Investment in property and equipment Investment in short-term securities Net cash flow from investing ($ 4,293) ( 2.000) ($ 6,293) Cash flows from financing activities: Nonoperating income Repayment of long-term debt Repayment of notes payable Capital lease principal repayment Net cash flow from financing $ 2,098 (2,150) (3,262) (323) ($ 3,637) ($ 832) Net increase (decrease in cash and equivalents 3,095 Beginning cash and equivalents $ 2,263 Ending cash and equivalents 2015 2014 EXHIBIT 17.2 Riverside Memorial Hos- pital: State- ments of Opera- tions (Income Statements), Years Ended December 31, 2015 and 2014 (in thousands) $ 95,398 $ 106,502 3,328 $ 103,174 5,232 3,644 $ 112,050 3.469 $ 91,929 4.622 6,014 $102,565 Revenues: Patient service revenue Less: Provision for bad debts Net patient service revenue Premium revenue Other revenue Net operating revenues Expenses: Nursing services Dietary services General services Administrative services Employee health and welfare Malpractice insurance Depreciation Interest expense Total expenses Operating income Nonoperating income Net income $ 58,285 5.424 13,198 11,427 10,250 1,320 4,130 1,542 $ 105.576 $ 56.752 4,718 11,655 11,585 10,705 1,204 4,025 1,521 $102,165 $ 400 1,995 $ 2,395 $ 6,474 2,098 $ 8,572 2015 2014 $ 3,095 2,000 Cash and equivalents Short-term investments Net patient accounts receivable Inventories Total current assets Gross property and equipment Accumulated depreciation Net property and equipment $ 2,263 4,000 21,840 3,177 $ 31,280 $ 145,158 25,160 $119.998 EXHIBIT 17.3 Riverside Memorial Hospital: Balance Sheets, December 31, 2015 and 2014 (in thousands) 20,738 2,982 $ 28,815 $140,865 21,030 $ 119,835 $ 151,278 $148,650 Total assets Accounts payable Accrued expenses Notes payable Total current liabilities Long-term debt Capital lease obligations Total long-term liabilities Net assets (equity) $ 4,707 5.650 2,975 $ 13,332 $ 28,750 1,832 $ 5,145 5,421 6,237 $ 16,803 $ 30,900 2,155 $ 33,055 $ 98,792 $ 30,582 $ 107,364 $148,650 $ 151,278 Total liabilities and net assets un and in control expenses. 17.3 Riverside Memorial's primary financial statements are presented in exhibits 17.1, 17.2, and 17.3. a. Calculate Riverside's financial ratios for 2014. Assume that Riverside had $1,000,000 in lease payments and $1,400,000 in debt principal repayments in 2014. (Hint: Use the book! discussion to identify the applicable ratios.) b. Interpret the ratios. Use both trend and comparative analyses. For the comparative analysis, assume that the industry average data presented in the book are valid for both 2014 and 2015. 17.4 Consider the followin $ 6,474 Cash flows from operating activities: Operating income Adjustments: Depreciation Increase in accounts receivable Increase in inventories Decrease in accounts payable Increase in accrued expenses Net cash flow from operations 4,130 (1,102) (195) (438) EXHIBIT 17.1 Riverside Memorial Hospital: Statement of Cash Flows, Year Ended December 31, 2015 (in thousands) 229 $ 9,098 Cash flows from investing activities: Investment in property and equipment Investment in short-term securities Net cash flow from investing ($ 4,293) ( 2.000) ($ 6,293) Cash flows from financing activities: Nonoperating income Repayment of long-term debt Repayment of notes payable Capital lease principal repayment Net cash flow from financing $ 2,098 (2,150) (3,262) (323) ($ 3,637) ($ 832) Net increase (decrease in cash and equivalents 3,095 Beginning cash and equivalents $ 2,263 Ending cash and equivalents 2015 2014 EXHIBIT 17.2 Riverside Memorial Hos- pital: State- ments of Opera- tions (Income Statements), Years Ended December 31, 2015 and 2014 (in thousands) $ 95,398 $ 106,502 3,328 $ 103,174 5,232 3,644 $ 112,050 3.469 $ 91,929 4.622 6,014 $102,565 Revenues: Patient service revenue Less: Provision for bad debts Net patient service revenue Premium revenue Other revenue Net operating revenues Expenses: Nursing services Dietary services General services Administrative services Employee health and welfare Malpractice insurance Depreciation Interest expense Total expenses Operating income Nonoperating income Net income $ 58,285 5.424 13,198 11,427 10,250 1,320 4,130 1,542 $ 105.576 $ 56.752 4,718 11,655 11,585 10,705 1,204 4,025 1,521 $102,165 $ 400 1,995 $ 2,395 $ 6,474 2,098 $ 8,572 2015 2014 $ 3,095 2,000 Cash and equivalents Short-term investments Net patient accounts receivable Inventories Total current assets Gross property and equipment Accumulated depreciation Net property and equipment $ 2,263 4,000 21,840 3,177 $ 31,280 $ 145,158 25,160 $119.998 EXHIBIT 17.3 Riverside Memorial Hospital: Balance Sheets, December 31, 2015 and 2014 (in thousands) 20,738 2,982 $ 28,815 $140,865 21,030 $ 119,835 $ 151,278 $148,650 Total assets Accounts payable Accrued expenses Notes payable Total current liabilities Long-term debt Capital lease obligations Total long-term liabilities Net assets (equity) $ 4,707 5.650 2,975 $ 13,332 $ 28,750 1,832 $ 5,145 5,421 6,237 $ 16,803 $ 30,900 2,155 $ 33,055 $ 98,792 $ 30,582 $ 107,364 $148,650 $ 151,278 Total liabilities and net assets un and in control expenses. 17.3 Riverside Memorial's primary financial statements are presented in exhibits 17.1, 17.2, and 17.3. a. Calculate Riverside's financial ratios for 2014. Assume that Riverside had $1,000,000 in lease payments and $1,400,000 in debt principal repayments in 2014. (Hint: Use the book! discussion to identify the applicable ratios.) b. Interpret the ratios. Use both trend and comparative analyses. For the comparative analysis, assume that the industry average data presented in the book are valid for both 2014 and 2015. 17.4 Consider the followin