. Swayze Community Hospital, a 265-bed facility, is a sole provider hospital in small, rural New England serving a large area. Assess Swayzes profitability, liquidity, activity and capital structure ratios. Using the financial ratios from Exhibit 425 for the current and previous years, evaluate Swayzes financial condition specifically in evaluation of the company pay attention to Current ratio, quick ratio, average payment period and return asset

Ratio 20X1 20X0 Current Ratio 2.25 1.95 Quick Ratio 1.65 1.45 Acid Test Ratio 0.10 0.25 Days in Accounts Receivable 80 50 Average Payment Period 65 75 Days Cash on Hand 15 35 Fixed Asset Turnover Ratio 3.50 3.20 Total Asset Turnover Ratio 1.12 1.10 Operating Margin 0.08 0.06 Return on Total Assets 0.10 0.07 Long-term Debt to Net Assets 0.55 0.68 Net Assets to Total Assets 0.45 0.35 Debt Service Coverage Ratio 3.55 2.25 Age of Plant 7.80 6.80