The financial statements of any organization offer a large amount of information that is beneficial to the public, as well as a manager or administrator. A manager must be able to tailor the financial system with the purpose of obtaining essential data that assists in the process of identifying problem areas to be able to adjust policies and practices to correct the issue (Broyles, Khaliq, & Mattachione, 2009). By integrating existing financial and clinical reporting systems, administrators can have access to timely and statistical information in order to make organizational decisions more effectively (Broyles et al., 2009). By having timely data through the financial reporting system of the organization, managers and administrators can make
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Appendix C offers a vertical analysis of the balance sheet and the statement of income for Adeptus. As Appendix C illustrates, the organization’s net property and equipment doubled between 2012 and 2013 while intangibles decreased by 30%. Long-term debt almost tripled within the same time period, but further investigation would need to be completed to verify this was because of the increased acquisition of property and equipment mentioned above. Another area of concern shown within the analysis is the decrease of the shareholders’ equity from 67% in 2012 to 44% in 2013, as well as the decreased net profit of the organization within the same period. A manager could use this information to investigate the causes of these anomalies to determine the causes and formulate a plan to correct the issues within the next financial period. Using the time period of the above analysis, the company seemed to increase their net property and equipment during this time period, which caused more debt for the company and lowered the equity of their stock. The balance sheet and statement of income for the fiscal year ending in 2015 showed a significant increase within these areas from 2012 and 2013, so the company appears to be growing
Appendix C offers a vertical analysis of the balance sheet and the statement of income for Adeptus. As Appendix C illustrates, the organization’s net property and equipment doubled between 2012 and 2013 while intangibles decreased by 30%. Long-term debt almost tripled within the same time period, but further investigation would need to be completed to verify this was because of the increased acquisition of property and equipment mentioned above. Another area of concern shown within the analysis is the decrease of the shareholders’ equity from 67% in 2012 to 44% in 2013, as well as the decreased net profit of the organization within the same period. A manager could use this information to investigate the causes of these anomalies to determine the causes and formulate a plan to correct the issues within the next financial period. Using the time period of the above analysis, the company seemed to increase their net property and equipment during this time period, which caused more debt for the company and lowered the equity of their stock. The balance sheet and statement of income for the fiscal year ending in 2015 showed a significant increase within these areas from 2012 and 2013, so the company appears to be growing