Using Financial Ratios to Assess Organizational Performance : Assignment 2

Assignment 2: Using Financial Ratios to Assess Organizational 

Performance

Due Week 6 and worth 240 points

Using the financial statements from your selected health care organization in 

Assignment 1, develop a financial plan for the next three (3) years.

Write a four to five (4-5) page paper in which you:

1. Suggest the financial ratio that most financial analysts would use to 
   
   evaluate the financial condition of the company. Provide support for your 
   
   rationale.
2. Speculate on the organization's ability to meet its financial obligations as 
   
   they come due. Provide support for your rationale.
3. Based on your ratio analysis, determine whether the profitability trends are 
   
   favorable or unfavorable and explain your rationale.
4. Using financial ratio analysis, predict whether or not the company will be 
   
   viable in five (5) years based on its performance over the past three (3) years. 
   
   Provide support for your prediction.
5. Use at least two (2) quality academic resources. Note: 
   
   Wikipedia and other Websites do not qualify as academic resources.

Your assignment must follow these formatting requirements:

• Be typed, double spaced, using Times New Roman font (size 12), with one-inch 
  
  margins on all sides; citations and references must follow APA or 
  
  school-specific format. Check with your professor for any additional 
  
  instructions.
• Include a cover page containing the title of the assignment, the student’s 
  
  name, the professor’s name, the course title, and the date. The cover page and 
  
  the reference page are not included in the required assignment page 
  
  length.

The specific course learning outcomes associated with this assignment 

are:

• Evaluate the financial statements and the financial position of health care 
  
  institutions.
• Describe the overall planning process and the key components of the 
  
  financial plan.
• Use technology and information resources to research issues in health 
  
  financial management.
• Write clearly and concisely about health financial management using proper 
  
  writing mechanics.