Homework Help is Here – Start Your Trial Now!
Business
Finance
Consider the following financial statements for Green Valley Nursing Home, Inc., a for-profit, long-term care facility: Green Valley Nursing Home, Inc., Statement of Income and Retained Earnings, Year Ended December 31, 2015 Assets Green Valley Nursing Home, Inc., Balance Sheet, December 31, 2015 Revenue: Net patient service revenue $3,163,258 Other revenue Total revenues 106,146 $3,269,404 Expenses: Salaries and benefits $1,515,438 Medical supplies and drugs 966,781 Insurance 296,357 Current Assets: Cash Marketable securities Net patient accounts receivable Supplies Total current assets Property and equipment Less accumulated depreciation Net property and equipment Total assets $ 105,737 200,000 215,600 87,655 $ 608,992 $2,250,000 356,000 $1,894,000 $2,502,992 (continued) Provision for bad debts 110,000 Depreciation 85,000 (continued from previous page) Interest 206,780 Liabilities and Shareholders' Total expenses $3,180,356 Equity Operating income Current Liabilities: $ 89,048 Accounts payable Provision for income taxes 31,167 Accrued expenses Net income $ 57,881 Notes payable Current portion of long-term debt Total current liabilities $ 72,250 192,900 100,000 80,000 Retained earnings, beginning of year $ 199,961 Retained earnings, end of year $ 257,842 Long-term debt Shareholders' Equity: Common stock, $10 par value Retained earnings Total shareholders' equity Total liabilities and shareholders' equity $ 445,150 $1,700,000 $ 100,000 257,842 $ 357,842 $2,502,992

Consider the following financial statements for Green Valley Nursing Home, Inc., a for-profit, long-term care facility: Green Valley Nursing Home, Inc., Statement of Income and Retained Earnings, Year Ended December 31, 2015 Assets Green Valley Nursing Home, Inc., Balance Sheet, December 31, 2015 Revenue: Net patient service revenue $3,163,258 Other revenue Total revenues 106,146 $3,269,404 Expenses: Salaries and benefits $1,515,438 Medical supplies and drugs 966,781 Insurance 296,357 Current Assets: Cash Marketable securities Net patient accounts receivable Supplies Total current assets Property and equipment Less accumulated depreciation Net property and equipment Total assets $ 105,737 200,000 215,600 87,655 $ 608,992 $2,250,000 356,000 $1,894,000 $2,502,992 (continued) Provision for bad debts 110,000 Depreciation 85,000 (continued from previous page) Interest 206,780 Liabilities and Shareholders' Total expenses $3,180,356 Equity Operating income Current Liabilities: $ 89,048 Accounts payable Provision for income taxes 31,167 Accrued expenses Net income $ 57,881 Notes payable Current portion of long-term debt Total current liabilities $ 72,250 192,900 100,000 80,000 Retained earnings, beginning of year $ 199,961 Retained earnings, end of year $ 257,842 Long-term debt Shareholders' Equity: Common stock, $10 par value Retained earnings Total shareholders' equity Total liabilities and shareholders' equity $ 445,150 $1,700,000 $ 100,000 257,842 $ 357,842 $2,502,992

Financial Accounting Intro Concepts Meth/Uses
Financial Accounting Intro Concepts Meth/Uses
14th Edition
ISBN:9781285595047
Author:Weil
Publisher:Weil
Chapter12: Liabilities: Off-balance-sheet Financing, Retirement Benefits, And Income Taxes
Section: Chapter Questions
Problem 22E
See similar textbooks
icon
Related questions
Question

Refer back to Textbook Problem 17.5. Recast the financial statements for Green Valley into common size financial statements. Describe at least two advantages of a common size presentation of financial statements. 

Consider the following financial statements for Green Valley Nursing Home, Inc., a for-profit, long-term care facility: Green Valley Nursing Home, Inc., Statement of Income and Retained Earnings, Year Ended December 31, 2015 Assets Green Valley Nursing Home, Inc., Balance Sheet, December 31, 2015 Revenue: Net patient service revenue $3,163,258 Other revenue Total revenues 106,146 $3,269,404 Expenses: Salaries and benefits $1,515,438 Medical supplies and drugs 966,781 Insurance 296,357 Current Assets: Cash Marketable securities Net patient accounts receivable Supplies Total current assets Property and equipment Less accumulated depreciation Net property and equipment Total assets $ 105,737 200,000 215,600 87,655 $ 608,992 $2,250,000 356,000 $1,894,000 $2,502,992 (continued) Provision for bad debts 110,000 Depreciation 85,000 (continued from previous page) Interest 206,780 Liabilities and Shareholders' Total expenses $3,180,356 Equity Operating income Current Liabilities: $ 89,048 Accounts payable Provision for income taxes 31,167 Accrued expenses Net income $ 57,881 Notes payable Current portion of long-term debt Total current liabilities $ 72,250 192,900 100,000 80,000 Retained earnings, beginning of year $ 199,961 Retained earnings, end of year $ 257,842 Long-term debt Shareholders' Equity: Common stock, $10 par value Retained earnings Total shareholders' equity Total liabilities and shareholders' equity $ 445,150 $1,700,000 $ 100,000 257,842 $ 357,842 $2,502,992
Transcribed Image Text:Consider the following financial statements for Green Valley Nursing Home, Inc., a for-profit, long-term care facility: Green Valley Nursing Home, Inc., Statement of Income and Retained Earnings, Year Ended December 31, 2015 Assets Green Valley Nursing Home, Inc., Balance Sheet, December 31, 2015 Revenue: Net patient service revenue $3,163,258 Other revenue Total revenues 106,146 $3,269,404 Expenses: Salaries and benefits $1,515,438 Medical supplies and drugs 966,781 Insurance 296,357 Current Assets: Cash Marketable securities Net patient accounts receivable Supplies Total current assets Property and equipment Less accumulated depreciation Net property and equipment Total assets $ 105,737 200,000 215,600 87,655 $ 608,992 $2,250,000 356,000 $1,894,000 $2,502,992 (continued) Provision for bad debts 110,000 Depreciation 85,000 (continued from previous page) Interest 206,780 Liabilities and Shareholders' Total expenses $3,180,356 Equity Operating income Current Liabilities: $ 89,048 Accounts payable Provision for income taxes 31,167 Accrued expenses Net income $ 57,881 Notes payable Current portion of long-term debt Total current liabilities $ 72,250 192,900 100,000 80,000 Retained earnings, beginning of year $ 199,961 Retained earnings, end of year $ 257,842 Long-term debt Shareholders' Equity: Common stock, $10 par value Retained earnings Total shareholders' equity Total liabilities and shareholders' equity $ 445,150 $1,700,000 $ 100,000 257,842 $ 357,842 $2,502,992
Expert Solution
steps

Step by step

Solved in 2 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Financial Accounting Intro Concepts Meth/Uses
Financial Accounting Intro Concepts Meth/Uses
Finance
ISBN:
9781285595047
Author:
Weil
Publisher:
Cengage
SEE MORE TEXTBOOKS