Strategic Financial Planning The CEO of a hospital has announced an ambitious building and renovation project that will increase total assets by 395,00,over the next four years. You are in charge of reviewing the plan and determining if it is feasible. (Millions) Income Statement 3104 05 2016 2017 2018 2019 2020 2021 2022 Revenues Expenses Net Income || Balance Sheet Assets Current Liabilities Long Term Debt Fund Balance 2014 $80 10 2015 $82 11 2016 585 12 2017 586 12 $90 13 $100 ||| E|| Calculate the historical growth rates for revenues, expenses, total assets, current liabilities, and the fund balance Revenues: Expenses: Total assets: Current Liabilities: Fund balance Assuming historical patterns continue, calculate the fund balance four years out the change in fund balance is prior year fund balance +/-profit or loss). Estimate future current liabilities using its historical growth rate and calculate the amount of long term debt that will be required to balance assets with liabilities and the fund balance (LT Debt = Assets - Current Liabilities and Fund Balance) C. The long term debt to equity ratio ($40m/$37m) is 1.08/2015), assuming the board of directors wants to maintain a long term debt to equity ratio of 1.40 or less, is the plan feasible? Long Term Debt to Equity ratio 2011 Assume the plan is not feasible, what actions can be taken to ensure LT Debt to equity