Refer to Southeastern Memorial Hospital's financial statements below for calculating the ratios requested in problems 1-6. All work and calculations must be shown

Southeastern Memorial Hospital

Statement of Operations For the Year Ended December 31, 2010

Revenues, Gains, Other Support

Net patient service revenue $ 1,500,000

Other revenue 200,000

Total Revenue 1,700,000

Expenses

Nursing Services 1,200,000

Administrative Services 200,000

Depreciation 100,000

Other Expenses 50,000

Total Expenses 1,550,000

Operating Income 150,000

Investment Income 50,000

Excess of revenues over expenses 200,000

Increase in Unrestricted Net Assets $ 200,000

Southeastern Memorial Hospital

Balance Sheet As of December 31, 2010 (2009 omitted)

Assets

Current Assets

Cash and cash equivalents $ 50,000

Net patient receivables 350,000

Total Current Assets 400,000

Properties and Equipment

Gross properties and equipment $ 900,000

Less accumulated depreciation 475,000

Net Properties and Equipment 425,000

Total Assets $ 825,000

Liabilities and Net Assets

Current Liabilities

Accounts Payable 200,000

Salaries Payable 50,000

Total Current Liabilities 250,000

Notes Payable 200,000

Unrestricted Net Assets 375,000

Total Liabilities and Net Assets $ 825,000

1. What is Southeastern Memorial Hospital's operating margin?

2. What is Southeastern Memorial Hospital's days in accounts receivable?

3. What is Southeastern Memorial Hospital's long-term debt to net assets ratio?

4. What is Southeastern Memorial Hospital's age of plant?

5. What is Southeastern Memorial Hospital's fixed asset turnover ratio?

6. What is Southeastern Memorial Hospital's days cash on hand?