Using HCA’s attached financial statements, please answer the following questions:
Calculate HCA’s Total Margin Ratio for fiscal years 2017 and 2018.
In which year was HCA more profitable in terms of total Net Income? In which year did HCA have a higher profit margin?
Calculate HCA’s Current Ratio for fiscal years 2017 and 2018.
What do you infer about HCA’s financial health based on the change in the Current Ratio between the years 2017 and 2018?
For the following questions, please calculate the requested amounts for these loans:
A hospital obtained a $2,500,000 loan at an interest rate of 4% (compounded annually) with a balloon payment (principal and interest) due in 5 years. What will the hospital’s loan repayment be at the end of 5 years? (Hint: you’re calculating the future value of this loan)
A hospital obtained a loan at an interest rate of 3.5% (compounded annually) with a balloon payment of $498,923.04 (principal and interest) due at the end of 3 years. What was the principal payment that the hospital received at the time of loan origination? (Hint: you’re calculating the present value of this loan)