Essay on Access the Company Future Health

Words: 1118
Pages: 5
Open Document
Assessing a Company’s Future Financial Health

Submitted on September 6, 2011

SECTION 1:
Sales Growth 1. During the four-year period ended December 31, 2008. SciTronics’ sales grew at 21% ($244,000/$115,000) = (1+r) ^4 compound rate. There were no acquisitions or divestitures.

Profitability Ratios: How Profitable Is the Company 1. SciTronics’ profits as a percentage of sales in 2008 were 5.73% (14,000/244,000).

2. SciTronics’ profits as a percentage of sales in 2005 was 3.44 %( 5,000/147,000). This represents an increase of 2. 29% from 2005.

3. SciTronics had a total of $112, 000 (75,000+20,000+7,000+10,000) of capital at year-end 2008 and earned before interest but after taxes (EBIAT) 16,000 (26,000-10,000) …show more content…
Profitability Revisited 1. The improvement in SciTronics’ return on equity from 8.2% in 2005 to 18.7% in 2008 resulted from an increase in its return on sales; and an increase in its assets turnover, and an increase/decrease in its assets turnover, and an increase in its financial leverage.

SECTION 2:

Questions to Consider

1. What is your assessment of the performance of SciTronics during the 2005-2008 periods?

In looking at the firms’ assessment from 2005 to 2008, it can be concluded that the firm experienced rapid growth.

First, in terms of sales, the firm sales grew great by 21% from 2005 to 2008. In addition, the firm profits as a percentage of sales increased by 2.29% from 2005 to 2008. This means that firm has demonstrated its ability to increase its revenue while reducing its cost. Second, the firm saw its return on equity increased from 8.11% in 2005 to 18.66% increase. This is an increase of 10.56%. This means that shareholders are more satisfied and the company is able to earn more profits with shareholder’s invested money.

In terms of the firm’s activity ratios, the turnover decreased from 1.58 times in 2005 to 1.53 in 2008. This decrease was due to the large growth in assets over the past 4 years. Although the assets increased by 66 million over the past 4 years, the turnover only decreased by .05. The firm saw an improvement in its average college period and
Show More

Related Documents: Essay on Access the Company Future Health

Health Care Reform Essay

Health Care Utilization Kerlyn Joseph HCS/235 Health Care Delivery January 25, 2010 Anne Packham Health Care Utilization With the current health care reform that has been passed, it is now the law and mandatory for people to get health insurance through their employer, government, or individually. Each person should have health insurance to take care of their health. For many years there have been issues concerning with people all across the US, affecting access to the care they want and…

Words 1239 - Pages 5

Affordable Care Act Essay

Affordable Care Act, there is an improved access to affordable health coverage and provides protection against abusive insurance company practices. Some of the other focuses that encompass the Affordable Care Act is stronger consumer rights and protections, more affordable coverage, better access to care, and stronger Medicare. Details about the Affordable Care Act Insurance companies could take advantage of their customers in the past. These companies could deny coverage for someone with a pre-existing…

Words 695 - Pages 3

Clinical IT And Financial IT

Financial IT Sharon Garcia HCS/533 June 15, 2015 Jane Ferraris Clinical IT and Financial IT With so many changes coming about the health care field it is hard to keep up with all the new terminology and systems being put into place. To become more familiar with some of the newer medical systems and financial billing system terminology in the health care field. Abbreviations The first abbreviation is CPT. CPT stands for Current Procedural Terminology. This coding system was developed by…

Words 1302 - Pages 6

The Future Challenges Facing Health Care in the United States Essay

The Future Challenges Facing Health Care in the United States Liz M. Santiago Dr. Watson HSA 500 March 11, 2012 Identify and describe at least three of the most difficult issues facing health care in the United States today. Our health care system is complex in the way it is setup and the way it operates. There are many key issues that face the health care system in the United States today. Three of the most difficult issues include diseases, health disparities and paying for…

Words 1277 - Pages 6

Essay on Blue Cross Blue Shield Case Analaysis

Insurance premium: A health premium can be defined as a monthly fee paid to an insurance company to provide health coverage. This premium covers things as small as routine doctor visits to more serious hospitalizations. While the individual insured can make payments, companies usually provide organization-funded insurance for their employees as an employment benefit. Co-payment: A fixed sum of money, paid every time an individual goes to get any sort of health service. The cost usually…

Words 1645 - Pages 7

Roles For Riordan Manufacturing

data and access system access needs of Riordan employees will be covered as well. Role-based access control systems (RBAC) are the best way for Riordan to segregate duties and use roles to segregate data and system access will be explained in more detail throughout the following paragraphs. Riordan has a need to control what information employees have access and what the public can access. Loss of valuable information can be controlled by RBAC systems by adding or deleting someone’s access to a particular…

Words 1113 - Pages 5

Health Care Spending Essay

Health Care Spending Paper HCS/440 M. Willis May 31, 2013 Health care spending has been a debatable topic for decades, spurring a number of opinionated discussions amongst the public and the government. Over the years, a number of changes and revisions have been presented to improve the quality of care at an affordable rate in an effort to maintain a reasonable budget, but none have made enough of an impact to reduce spending. My position on the matter of…

Words 1088 - Pages 5

Dental Hygienist Challenges

Vivid, clear relationship between oral health and the overall health of the individuals make the importance of access to care more essential than ever before. Technological advancements in oral care facilitate communications and information sharing in a collaborative partnership. The success of oral hygiene education and preventive care in reducing the cost of care and increasing the oral health of the community make dental hygienists the frontiers of preventive care. There is always communication…

Words 1712 - Pages 7

Affordable Care Act Pros And Cons

Affordable Care Act is a comprehensive health care reform law enacted in March 2010, ACA is to make health insurance more affordable for those with little or no coverage.The Affordable Care Act has three primary goals which is to expand access to health insurance, protect patients against arbitrary actions by insurance companies, and reduce costs. Since that time most of its key passages have beenimplemented despite the attempts of opponents to walay it legislatively or in court.…

Words 333 - Pages 2

Explain Why Now Should People With Preexist Conditions Pay More Premiums?

cost of and access to coverage must link to an insured's risk class giving examples to homeowners, life, and other forms of insurance. And that there should be a community rating for health insurance companies; the aged and individuals with pre-existing conditions must pay more. Giving these reasons, they explain that: *The younger, healthier people would be priced out of the health insurance market, destabilizing risk pools and driving premiums higher for everyone; insurance companies would stay…

Words 1251 - Pages 6