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MHC6305- Financial Management of Healthcare Organizations

MHC6305- Financial Management of Healthcare Organizations

12550Review the following balance sheet:

Best Care Health Maintenance Organization (HMO)

Balance Sheet

June 30, 2011 (in thousands)

Assets

Current assets:

Cash
Net premiums receivable
Supplies

$2,737

$821

$387

Total current assets

$3,945

$3,945

Net property and equipment

$5,924

Total assets

$9,869

Liabilities and Net Assets

Accounts payable—medical services

$2,145

Accrued expenses

$929

Notes payable

$382

Total current liabilities

$3,456

$3,456

Long-term debt

$4,295

Total liabilities

$7,751

$7,751

Total assets

$9,869

Net assets-unrestricted (equity)

$2,118

Total liabilities and net assets

$9,869

Answer the following questions after your analysis:

What is Best Care’s net working capital for 2011? Show your work.
What is Best Care’s debt ratio? Show your work.
To support your work, use your course and textbook readings and also use the South University Online Library. As in all assignments, cite your sources in your work and provide references for the citations in APA format.

Submission Details:
Your assignment should be addressed in a 2- to 3-page document.

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