Discuss the meaning of ratio analysis in healthcare

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Reference no: EM132425990

Ratio Analysis

Write a 4-6 page paper in which you discuss the value of ratio analysis in decision making for health care organizations.

Complete the following in your paper:

1 Discuss the meaning of ratio analysis in healthcare.

2 Pick one (1) ratio from each major group from the financial statements.

3 Liquidity ratios (Current ratio, Days Cash-on-Hand, Quick Ratio)

4 Profitability ratios (ROE, ROA, Total Margin, Operating Margin)

5 Leverage/Capital Structure Ratios (Debt ratio, Equity ratio, Debt to Equity Ratio)

6 Nonfinancial Ratios (Occupancy rate, payer mix, ALOS, Expense per discharge, FTE per bed, HMO penetration)

7 Discuss the ratio and provide examples with calculations

8 Evaluate the meaning of the calculations related to the financial health of the organization.

9 Explain the factors that affect the results.

You can also utilize the Help4UHMO Organization financial statements or a real-life health care organization to evaluate by researching their financial statements.

  •  Format your paper consistent with APA guidelines.
  • Provide a minimum of two (2) cited sources in your paper.

Reference no: EM132425990

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