Question: info provided at the bottom Complete ratio analysis, recognizing significant differences Home Heath, Inc. has come to Jana Ross for a yearly financial checkup. As




Complete ratio analysis, recognizing significant differences Home Heath, Inc. has come to Jana Ross for a yearly financial checkup. As a first simp, Jane has prepared a complete set of ratios for fecal years 2018 and 2019 m use them to look for significant changes in the company's situation from one year to the next To focus on the degree of change, calculate the year to year proportional change by subtracting the year 2018 ratio from the year 2019 ratio then dividing the difference by the year 2018 ratio. Multiply the result by 100. Preserve the negative si The result is the percentage change in the mio from 2018 to 2019. Calculate the proportional change for the ratios shown here 6. For the most significant changes associate look at the other ratios and Cheat feast one other charge that may have contributed to the change in a ratio at you are discuss . To focus on the degree of change calculate the year to your proportional change for the ration shown here a. To focus on the degree of change, calculate the year-to-year proportional change for the ratios shown here. Liquidity Ratios Current ratio Proportional Difference Proportional Difference Liquidity Ratios Quick ratio Proportional Difference Activity Ratios Inventory turnover Proportional Difference Activity Ratios Average collection period Proportional Difference Activity Ratios Total asset turnover Proportional Difference Debt Ratio Debt ratio Proportional Difference Debt Ratio Times interest earned ratio Proportional Difference Profitability Ratios Gross profit margin Profitability Ratios Operating profit margin Proportional Difference Proportional Difference Profitability Ratios Net profit margin Proportional Difference Proportional Difference Profitability Ratios Return on total assets Profitability Ratios Return on common equity Market Ratios Price/earnings ratio Proportional Difference Proportional Difference Market Ratios Market/book ratio (Click on the icon located on the top-right corner of the data table below in order to copy its contents into a spreadsheet.) 2019 Home Health, Inc. Financial Ratios Ratio 2018 Current ratio 3.25 Quick ratio 2.50 Inventory turnover 12.80 Average collection period 42.6 days Total asset turnover 1.40 Debt ratio 0.45 Times interest earned ratio 4.00 Gross profit margin 68% Operating profit margin 14% Net profit margin 8.3% Return on total assets 11.6% Return on common equity 21.1% Pricelearnings ratio 10.7 Market/book ratio 1.40 3.00 2.20 10.30 31.4 days 2.00 0.62 3.85 65% 16% 8.1% 16.2% 42.6% 9.8 1.25
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