Question
Unit 7 Assignment 2: Construct a KPI Dashboard Using the information in the Unit 7 Assignment 2: Construct a KPI Dashboard Assignment, prepare a one-page
Unit 7 Assignment 2: Construct a KPI Dashboard Using the information in the Unit 7 Assignment 2: Construct a KPI Dashboard Assignment, prepare a one-page KPI report for management. Make sure to utilize all of the components asked for below. In addition, please incorporate a comparison and evaluation of Green Valley to its industry competitors.
Green Valley Nursing Home Inc.
Statement of Income and Retained Earnings
Year Ended December 31, 2015
Revenue:
Net patient service revenue 3,163,258
Other revenues 106,146
Total revenues 3,269,404
Expenses
Salaries and benefits 1,515,438
Medical supplies and drugs 966,781
Insurance 296,357
Provision for bad debts 110,000
Depreciation 85,000
Interest 206,780
Total expenses 3,180,356
Operating income 89,048
Provision for income taxes 31,167
Net Income 57,881
Retained earnings, beginning of year 199,961
Retained earnings. end of year 257,842
Perform a DuPont analysis on Green Valley Nursing Home. Assume the following industry averages: Total margin 2.5% Total asset turnover 1.5 Equity Multiplier 2.5 Return on Equity (ROE) 13.1% 2. Calculate and interpret the following ratios: Industry Average Return on assets (ROA) 5.2% Current ratio 2.0 Days cash on hand 22 days Average collection period 19 days Debt ratio 71% Debt-to-equity ratio 2.5 Times-interest-earned (TIE) ratio 2.6 Fixed asset turnover ratio 1.5
Assume there are 10,000 shares of Green Valleys stock outstanding and that some recently sold for $45 per share. What is the companys price/earnings ratio? What is the market/book ratio?
Green Valley Nursing Home Inc.
Balance Sheet
December 31, 2015
Assets
Current Assets
Cash 105,737
Marketable securities 200,000
Net patient accounts receivable 215,600
Supplies 87,655
Total current assets 608,992
Property and equipment 2,250,000
Less accumulated depreciation 356,000
Net property and equipment 1,894,000
Total Assets 2,502,992
Liabilities and shareholders equity
Current Liabilities
Accounts payable 72,250
Accrued expenses 192,900
Notes payable 100,000
Current portion of long-term debt 80,000
Total current liabilities 445,150
Long-term debt 1,700,000
Shareholders Equity
Common Stock, $10 par value 100,000
Retained earnings 257,842
Total shareholders equity 357,842
Total liabilities and shareholders equity 2,502,992
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