This activity will provide you with an opportunity to work with an established financial statement of revenue and expenses for MHS (Baker, Baker, & Dworkin, 2018). In this activity, two years of financial data will be compared using common sizing and ratios commonly used in health care organizations. You will be using Excel for this activity. Use the Excel workbook you downloaded in Module 1 titled: HSC/NUR414 Finance Workbook Open the tab M5-1 Common Size & Ratios. Common size the MHS Statement of Revenue and Expenses for each category. On the same Excel spreadsheet, in the rows beneath your common sizing activity calculations, enter the calculations for the following ratios, using the formulas provided in your text: Quick Ratio Days Receivables Operating Margin When you have completed all calculations submit the assignment.

Module 5 Assignment Common Sizing Template 1. Common size the MHS Statement of Revenue and Expenses for each category. Metropolis Health System Statement of Revenue and Expenses For the Years Ended March 31, 20XX and 20XX \begin{tabular}{|c|c|c|c|c|c|} \hline & Year 2 & Common Sized & Year 1 & Common Sized & \\ \hline \multicolumn{6}{|l|}{ Revenue } \\ \hline Net patient service revenue & $34,000,000 & & $33,600,000 & 97.11% & \\ \hline Other revenue & $1,100,000 & & $1,000,000 & 2.89% & (EXAMPLE) \\ \hline Total Operating Revenue & $35,100,000 & 100% & $34,600,000 & 100% & \\ \hline \multicolumn{6}{|l|}{ Expenses } \\ \hline Nursing services & $5,025,000 & & $5,450,000 & & \\ \hline Other professional services & $13,100,000 & & $12,950,000 & & \\ \hline General services & $3,200,000 & & $3,220,000 & & \\ \hline Support services & $8,300,000 & & $8,340,000 & & \\ \hline Depreciation & $1,900,000 & & $1,800,000 & & \\ \hline Amortization & $50,000 & & $50,000 & & \\ \hline Interest & $325,000 & & $350,000 & & \\ \hline Provision for doubtful accounts & $1,500,000 & & $1,600,000 & & \\ \hline Total Expenses & $33,400,000 & 100% & $33,760,000 & 100% & \\ \hline \end{tabular} Quick Ratio Days Receivables