Consider the following balance sheet. 381 Chapter 12: Reporting Assets, Financing, and Cash Flows Green Valley Nursing Home Inc. Balance Sheet December 31, 2016 ASSETS Current assets Cash and cash equivalents $ 105,737 Short-term securities 200,000 Net accounts receivable 215,600 Supplies 87,655 Total current assets $ 608,992 Property and equipment 2,250,000 Less accumulated depreciation 356,000 Net property and equipment $1,894,000 Total assets $2,502,992 LIABILITIES AND SHAREHOLDERS' EQUITY Current liabilities Accounts payable $ 72,250 Accrued expenses 192,900 Notes payable 100,000 Current portion of long-term debt 80,000 Total current liabilities $ 445,150 Long-term debt $1,700,000 Shareholders' equity Common stock, $10 par value Retained earnings 257,842 Total shareholders' equity $ 357,842 Total liabilities and shareholders' equity $2,502,992 $ 100,000 a. How does this balance sheet differ from the ones presented in exhibits 12.1 and b. What is Green Valley's debt ratio? How does it compare with the debt ratios for Park Ridge Homecare and BestCare? 12.2 and problem 12.5? Consider the following balance sheet. 381 Chapter 12: Reporting Assets, Financing, and Cash Flows Green Valley Nursing Home Inc. Balance Sheet December 31, 2016 ASSETS Current assets Cash and cash equivalents $ 105,737 Short-term securities 200,000 Net accounts receivable 215,600 Supplies 87,655 Total current assets $ 608,992 Property and equipment 2,250,000 Less accumulated depreciation 356,000 Net property and equipment $1,894,000 Total assets $2,502,992 LIABILITIES AND SHAREHOLDERS' EQUITY Current liabilities Accounts payable $ 72,250 Accrued expenses 192,900 Notes payable 100,000 Current portion of long-term debt 80,000 Total current liabilities $ 445,150 Long-term debt $1,700,000 Shareholders' equity Common stock, $10 par value Retained earnings 257,842 Total shareholders' equity $ 357,842 Total liabilities and shareholders' equity $2,502,992 $ 100,000 a. How does this balance sheet differ from the ones presented in exhibits 12.1 and b. What is Green Valley's debt ratio? How does it compare with the debt ratios for Park Ridge Homecare and BestCare? 12.2 and problem 12.5