Assignment 2.2 Ratio Analysis Essay Example

Assignment 2.2: Ratio Analysis Essay Assignment 2. 2: Ratio Analysis Name| | Part 1: Enter the information based on your computations. | 2011| 2010| Benchmark| Favorable (F), Unfavorable (U), or Approximate (A)? 2011/2010| 1. Current ratio | 3. 52| 2. 59| 2. 00| Favorable| 2. Days cash on hand| 27. 64| 18. 10| 15. 00| Favorable| 3. Days in A/R| 69. 32| 76. 59| 45. 00| Favorable| 4. Operating margin | 2. 18%| 3. 03%| 4%| Unfavorable| 5. Return on total assets | 5. 08%| 7. 13%| 4%| Unfavorable| 6. Return on net assets | 14. 54%| 17. 76%| 10%| Unfavorable| 7. Debt to capitalization| 61. 21%| 53. 69%| 50%| Unfavorable| 8. Times interest earned | 2. 47| 3. 36| 4. 00| Unfavorable| 9. Debt service coverage | 1. 28| 1. 30| 2. 00| Approximate| 10. Fixed asset turnover | 3. 28| 2. 88| 3. 00| Favorable| 11. Salary and benefit/NPSR| 84. 08%| 82. 82%| 55%| Unfavorable| 1. Current ratio = Total Current Assets in Balance Sheet / Total Current Liabilities in Balance Sheet 2011| 2010| $54,306/$15,425| $39,715/$15,315| 3. 52| 2. 59 | 2. Days Cash on Hand = Cash and Cash Equivalents from Balance Sheet / [(Total Expenses – Depreciation – Provision for Bad Debts in Statement of Operations) / 365] 011| 2010| $12,102/[($168,232 $6,405 $2,000)/365]| $6,486/[($138,394 $5,798 $1,800)/365]| $12,102/[$159,827/365]| $6,486/[$130. 796/365]| $12,102/437. 88| $6,486/358. 34| 27. 64| 18. 10| 3. Days in A/R = Net Patient Accounts Receivable in Balance Sheet / (Net Patient Service Revenue in Statement of Operations / 365) 2011| 2010| $28,509/($150,118/365)| $25,927/$123,565/365)| $28,509/411. 28| $25,927/338. 53| 69. 32| 76. 59| 4. Operating margin = Operating Income from Statement of Operations / Total Revenues in Statement of Operations 2011| 2010| 3,747/$171,979| $4,330/$142,724| .0218 x 100| . 0303 X 100| 2. 18%| 3. 03%| 5. Return on total assets = Net Income in Statement of Operations / Total Assets in Balance Sheet 2011| 2010| $7,860/$154,815| $8,206/$115,101| .0508 x 100| . 0713 x 100| 5. 08%| 7. 13%| 6. Return on net assets = Net Income in Statement of Operations / Net Assets in the Balance Sheet 2011| 2010| $7,860/$54,068| $8,206/$46,208| .1454 x 100| . 1776 x 100| 14. 54%| 17. 76%| 7. Debt to capitalization = Long-term Debt in Balance Sheet / Long term debt + Net Assets in Balance Sheet 2011| 2010| 85,322/($85,322 + $54,068)| $53,578/($53,578 + $46,208)| $85,322/$139,390| $53,578/$99,786| .6121 x 100| . 5369 x 100| 61. 21%| 53. 69%| 8. Times interest earned = (Net Income + Interest) in Statement of Operations / Interest in Statement of Operations 2011| 2010| ($7,860 + $5,329)/$5,32 9| ($8,206 + $3,476)/$3,476| $13,189/$5,329| $11,682/$3,476| 2. 47| 3. 36| 9. Debt service coverage = (Net Income + Interest + Depreciation) in Statement of Operations/ Interest + Principal Payments ($10 million assumed for this assignment) 2011| 2010| ($7,860 + $5,329 + $6. 05)/$15,329| ($8,206 + $3,476 + $5,795)/$13,476| $19,594/$15,329| $17,477/$13,476| 1. 28| 1. 30| 10. Fixed asset turnover = Total Revenues in Statement of Operations / Net Property and Equipment 2011| 2010| $171,979/$52,450| $142,724/$49,549| 3. 28| 2. 88| 11. Salary and benefits as a % of net patient revenue = Salaries and Benefits in Statement of Operations / Net Patient Service Revenue in Statement of Operations 2011| 2010| $126,223/$150,118| $102,334/$123,565| .8408 X 100| . 8282 x 100| 84. 08%| 82. 82%| Part 2: Type your memo to senior management below We will write a custom essay sample on Assignment 2.2: Ratio Analysis specifically for you for only $16.38 $13.9/page Order now We will write a custom essay sample on Assignment 2.2: Ratio Analysis specifically for you FOR ONLY $16.38 $13.9/page Hire Writer We will write a custom essay sample on Assignment 2.2: Ratio Analysis specifically for you FOR ONLY $16.38 $13.9/page Hire Writer

Free Essays on Sociobiology

Sociobiology, in its most recent form, dates from the 1970s and the work of Edward O. Wilson. However, the roots of sociobiology are older. The first use of the term sociobiology likely dates to the work of Warder C. Allee, Alfred E. Emerson, and their associates in their 1949 book, Principles of Animal Ecology. Sociobiogists study the behavior of social animals, including humans. Sociobiology developed from studies in population biology and genetics. Research in the social insects, especially ants and honey bees, had shown that the old Darwinian maxim of individual selection, of individuals working for their own reproductive success, did not seem to apply to those groups. The worker castes of those species donot reproduce; yet, their behavior in defense of their nests was tenacious and often life-threatening to the defenders. How could such behavior be explained? The answers began to crystallize when Hamilton (1964) developed the concept of inclusive fitness. Inclusive fitness incorporated not only one's own reproductive success, but also the reproductive success of relatives. In the social insects, all of the workers born of the same queen are full sisters, but, they are all even more closely related to their mother, the queen. So, if one transfers the logic of evolution from the individual to genes, then the behavior of social insects begins to make sense. When workers die in defense of their nests, they are more likely to increase the likelihood of their genes' survival, even though they died in the effort. Sociobiology, however, is far more than the study of social insects. It is the study of all social species. Further, it is an attempt to find the evolutionary pressures which led to the evolution of social behavior in diverse groups of animals. Sociobiology is most controversial when such analyses are directed at human behavior. For example, the question of human criminal behavior may be analyzed via sociobiology. I... Free Essays on Sociobiology Free Essays on Sociobiology Sociobiology, in its most recent form, dates from the 1970s and the work of Edward O. Wilson. However, the roots of sociobiology are older. The first use of the term sociobiology likely dates to the work of Warder C. Allee, Alfred E. Emerson, and their associates in their 1949 book, Principles of Animal Ecology. Sociobiogists study the behavior of social animals, including humans. Sociobiology developed from studies in population biology and genetics. Research in the social insects, especially ants and honey bees, had shown that the old Darwinian maxim of individual selection, of individuals working for their own reproductive success, did not seem to apply to those groups. The worker castes of those species donot reproduce; yet, their behavior in defense of their nests was tenacious and often life-threatening to the defenders. How could such behavior be explained? The answers began to crystallize when Hamilton (1964) developed the concept of inclusive fitness. Inclusive fitness incorporated not only one's own reproductive success, but also the reproductive success of relatives. In the social insects, all of the workers born of the same queen are full sisters, but, they are all even more closely related to their mother, the queen. So, if one transfers the logic of evolution from the individual to genes, then the behavior of social insects begins to make sense. When workers die in defense of their nests, they are more likely to increase the likelihood of their genes' survival, even though they died in the effort. Sociobiology, however, is far more than the study of social insects. It is the study of all social species. Further, it is an attempt to find the evolutionary pressures which led to the evolution of social behavior in diverse groups of animals. Sociobiology is most controversial when such analyses are directed at human behavior. For example, the question of human criminal behavior may be analyzed via sociobiology. I...