VitalHealth Hospital recorded the following financial data for the year:

VitalHealth Hospital reported total revenue of £1,700,000, operating expenses of £1,000,000, interest expense of £60,000, and net income of £250,000.

Requirements:

1. Calculate the interest coverage ratio for VitalHealth Hospital.
2. Prepare a detailed income statement for the year ended 31 December 2021.
3. Discuss strategies VitalHealth Hospital could use to manage its interest expenses more effectively.