Using financial and operations indicators and benchmark information provided on the table below conduct an evaluation of the financial healthiness of Montefiore Hospital.

Discuss: Profitability Ratio, Liquidity Ratio, Debt Management, Assets Management Ratios, Efficiency And Operations Measures, Volume Indicators, and Intensity Of Service Indicators. (See example below)

Indicator/Ratio	Montefiore Hospital	Nearest competitor of equal size and services provided	Benchmark
Profitability Ratios
Total Profit Margin	6.6%	5.0%	4.2%
Operating Margin	-26.7%	1.0%	3.22%
Return On Assets	6.6%	4.5%	4%
Liquidity Ratios
Current Ratio	2.2%	1.2%	2.04
Days Cash On Hand	138.0 days	72.5 days	97.52 days
Days In Accounts Receivable or Average Collection Period	25.8 days	45.9 days	55.8 days
Debt Management Capital Structure Ratios (Solvency)
Total Debt Ratio	2.93	4.3	4.72%
Debt Service Coverage Ratio	9.2	4.0	4.72%
Assets Management Ratios
Average Payment Period	75.7 days	45,2 days	56.52 days
Total Asset Turnover	.78	.88	0.89
Other Ratios
Percent Patients Recommend Facility	80%	72%	72%
Contractual Allowance Percentage (Deductible Ratio)	10%	5%	20%
Professional Liability Cost Per Inpatient Discharge	$22.00	$42.0%	$42.06
Efficiency And Operations Measures
Profit Per Inpatient Discharge	$2,492	$3,042	($21.30)
Medicare Discharges Percentages	20%	36%	36.60%
FTEs Per Occupied Bed	13.93	9.1	4.15
Total Revenue Per FTEs	$557,288	$673,003	n/a
Salary Per FTEs	$42,974.80	$52,732.00	$42,317.00
Volume Indicators
Average Daily Census	1335.6	1429.0	1444.73
Average Length Of Stay	5.9 days	4.5 Days	6.07 Days
Intensity Of Service Indicators
Case Mix Index	1.7391	1.9342	1.1756

Example of how to answer the first part of the question.

Profitability Ratios

Operating Margin, which is profit from direct care of patients services provided only, measures Montefiores ability to control operating expenses (dollars of operating income per dollar of operating revenue. This measure plays a significant role in determining financial healthiness. A facility that does not control expenses, will have a very poor net income. The facilitys operating margin is -26.7%. This is far below the benchmark. The facility does not even break in terms of profit made from direct patient care services. Since total profit margin is positive and above the benchmark, this indicates that Montefiore must have additional profits coming from entities that are not tied to direct patient care services.