Health Care Case Study: Financial Statements

Introduction: In the summary you will read more(prenominal) or less Patton-Fuller Community hospital (PFCH) and how the hospital uses audited and unaudited mo terminalary statements, reviews their fiscal ratios, and the affinitys among expenses and gross. Other atomic number 18as of discussion are the different effectuate of receipts sources on the financial reporting and how the Patton- Fuller familiarity Hospitals statement deals with the revenue and thither expenses grouping. Audited Versus Unaudited monetary narrations In the case of Patton-Fuller Community 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 net income from the black to the blushing(a) (2). The audited and unaudited Balance Sheets also differ due to an try-on found in the audit (2). Overall, the two reports were re latively unaired and request that there are good controls in lay by the organizations over finances and financial reporting. The Financial Ratios The ratios did non better overall when comparing the unaudited data to the audited data. For example the sidereal days 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 advantage given the accompaniment that the DCOH decreased by one expert day. This would not be good information for the management or financial teams as the cash flow is decreasing by one day. In addi tion the quick ratio dropped a few points m! asking that the organization is becoming less able-bodied to pay for the debt it is incurring. kin between Revenue Sources and Expenses The revenue sources relationship with the expenses go hand in hand. The net patient revenue extend discussed in the report by the chief financial officer showed with the cast up in revenue there was an increase in expenses. The determination is to keep expenses less then the...If you deprivation to get a full essay, order it on our website: OrderCustomPaper.com

If you want to get a full essay, visit our page: write my paper