Financial Position of Omega Health Foundation

Financial strength of Omega Health theme Kellie Drake University of Phoenix Financial Position of Omega Health Foundation Principles of Finance In every type of business, monetary conside circumscribes are taken into account to make managerial decisions. Without pecuniary information, a manager is not able to make ameliorate and comprehensive decisions. Omega Health Foundations (OHF) uses the principles of finance to help steer the play alongs successful decision-making ability. Financial principles include risk-return tradeoff, liquid state versus lucrativeness, sustainability, leveraging, metre value of money, valuation, bond prices versus interest rates, and diversification. Omega Health Foundation is taking capital risks by funneling 84,015,323 dollars into building and building improvements. These risks whitethorn not be in the best interest of the keep follow. The liquidity and profitability are not indicative of a persistent party structure. The current ratio for the company is 1.42 and 1.12 for 2008 and 2009 respectfully. This means that the company was more liquid in 2008 than in 2009. The more the company is liquid, the less profitable investors perceive the company.

Financial ratios need to be calculated, evaluated, and compared to other companies within the industry to see how the OHF is performing. The total debt ration of OHF is .70 for 2008 and .90 for 2009. This ratio demonstrates how much debt the company has and shows its long-term solvency. Their rate was wear out in 2008, so for 2009 the company has increased indebtedness. The basis of profitability in OHF is on estimated figures from patients, third-party payers, and others for services rendered. Noted in the counterweight sheet the uncollected amounts have risen in 2009 compared to 2008. The company needs to devote labor to address the reasons for the uncollectable accounts. With this information, the sustainability to the company comes into question. Although the company is... If you want to get a full essay, order it on our website: Orderessay

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