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HCS 380 Wk 3 Discussion Board

HCS 380 Wk 3 Discussion Board PLDZ-13070
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HCS 380 Wk 3 Discussion Board

 

Answer the following the question on financial ratios based off reading Chapter 13 in our textbook. Your initial response is due by Thursday (no exceptions). All participation responses to your classmates or myself are due by Monday.

Write a 175- to 265-word response to the following:

Background:

After reading the textbook on ratios, and doing a little research, you should have a basic knowledge of how a ratio is used both personally and professionally. If you have ever applied for a credit card or a loan, you have had your credit profile reviewed and you had to tell the organization how much money you made. They then used this information to perform a ratio to determine if you qualify for the loan. The lender wants to know if you can afford the loan.

This same principal is applied to businesses. The financial information can be obtained from a health care organization by reviewing their financial statements, which can tell a lender if the organization is making enough money to take on the debt associated with a loan.

Directions:

With that said, financial institutions and investors utilize ratios to determine the financial viability of a business. Discuss one financial ratio mentioned in the textbook and explain why a financial institution or investor would use the ratio you chose. Include what the ratio results would tell you about the business.

In addition, give an example of how you would you use one of the financial ratios in your personal finances.

APA Formatting: Use citations where appropriate and list references. All citations and references, if used, must be in APA format. Only 15% of the content can be source material. If you write in your own words, only the reference is required.

Be sure to answer the question fully and substantively in your own words. I do not want to see information from the internet or verbatim from the textbook. Please refer to the announcement section of the course for information on what constitutes a substantive response.

Participation Responses: Due by Monday (no exceptions)

Read your classmates’ initial posts as well as mine. Respond with two participation posts. You can respond to two classmates or one of mine and one classmate. Your responses should be at least 85 words. Please be constructive and professional with your thoughts, further knowledge, recommendations or experience.

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