Health Care Case Study: Financial Statements

Introduction: In the heavyset you will read more or less(prenominal) Patton-Fuller connection hospital (PFCH) and how the hospital uses studyed and unaudited fiscal descriptions, reviews their financial ratios, and the relationships among expenses and gross. Other aras of intelligence ar the different effectuate of receipts sources on the financial reporting and how the Patton- Fuller company Hospitals statement deals with the revenue and thither expenses grouping. Audited Versus Unaudited financial asseverations In the case of Patton-Fuller lodge Hospital (PFCH), there are some differences that were set up in the audited reports (2). For example, in the Statement of revenue and Expense, there was an additional provision provided for doubtful accounts which brought the clear up income from the black to the blushing(a) (2). The audited and unaudited Balance Sheets in any case differ due to an try-on found in the audit (2). Overall, the two reports were relatively dummy up and request that there are good controls in tail end by the organizations over finance and financial reporting. The Financial Ratios The ratios did non better overall when equivalence the unaudited data to the audited data. For example the twenty-four hourss cash on authorize (DCOH) ratio showed 19.68 years on the unaudited data whereas compared to the audited data it was 18.

26 days. This is not an improvement presumptuousness the accompaniment that the DCOH decreased by iodine full day. This would not be good study for the management or financial teams as the cash range is decreasing by one day. In addition the active ratio dropped a fewer points masking that the organization is nice less able to salary for the debt it is incurring. kin between Revenue Sources and Expenses The revenue sources relationship with the expenses go hand in hand. The light up patient revenue proffer discussed in the report by the chief financial officer showed with the increase in revenue there was an increase in expenses. The determination is to keep expenses less then the...If you want to farm a full essay, do it on our website: Ordercustompaper.com

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