XYZ Hospital is a leading academic medical center. Financial data for 2023 is provided below:

Ledgers:

• Patient Services Revenue: $200,000,000
• Salaries and Benefits Expense: $120,000,000
• Supplies Expense: $30,000,000
• Depreciation Expense: $10,000,000

Requirements:

• Prepare XYZ Hospital's income statement for the year ended December 31, 2023.
• Calculate the Operating Income and Non-Operating Revenues/Expenses.
• Determine the Net Income after taxes using a tax-exempt status.
• Analyze XYZ Hospital's financial performance relative to peer institutions.
• Discuss how XYZ Hospital can optimize its cost structure to improve financial sustainability.