Access over 20 million homework & study documents

search

IHH Healthcare BHD Liquidity Ratios Worksheet

Content type
User Generated
Subject
Nursing
Type
Worksheet
Rating
Showing Page:
1/15
3.1 LIQUIDITY RATIOS
Liquidity Ratios
2015
2016
2017
2018
2019
Current Ratio
πΆπ‘’π‘Ÿπ‘Ÿπ‘’π‘›π‘‘ 𝐴𝑠𝑠𝑒𝑑𝑠
πΆπ‘’π‘Ÿπ‘Ÿπ‘’π‘›π‘‘ πΏπ‘–π‘Žπ‘π‘–π‘™π‘–π‘‘π‘–π‘’π‘ 
4650.60
3236.48
= 1.44 times
4598.87
3641.9
= 1.26times
8143.41
4044.98
= 2.01times
10535.79
5482.84
= 1.92times
7626.33
5349.23
= 1.43times
Net Working Capital to Total Assets
πΆπ‘’π‘Ÿπ‘Ÿπ‘’π‘›π‘‘ 𝐴𝑠𝑠𝑒𝑑𝑠 βˆ’ πΆπ‘’π‘Ÿπ‘Ÿπ‘’π‘›π‘‘ πΏπ‘–π‘Žπ‘π‘–π‘™π‘–π‘‘π‘–π‘’π‘ 
π‘‡π‘œπ‘‘π‘Žπ‘™ π‘Žπ‘ π‘ π‘’π‘‘
1414.12
35497.89
=0.040times
956.97
37187.96
=0.026times
4098.43
38924.23
=0.105times
5052.95
45114.51
=0.112times
2277.1
45053.29
=0.051times
At December 2017, the current ratio of IHH is the
highest which is the current assets were 2.01times
the value of current liabilities. The highest of the
current ratio of 2017 indicates that IHH is more
likely to pay the creditor back. During 2015, 2016
and 2019, IHH shows the low current ratio (which
is less between 1.0-1.50), it shows that they were
not well in paying debts.
IHH has a positive net working capital to total
assets from year 2015 to 2019. It indicates that the
company has a short-term liquidity to pay for its
current obligations during these five years. For
year 2017 and 2018, the ratio of IHH is highest
which is 0.105 and 0.112 respectively. It is the
good sign for IHH because it proofs that IHH was
shrewdly manage and has the potential for strong
growth.
1.44
1.26
2.01
1.92
1.43
2015 2016 2017 2018 2019
Times
Years
Current Ratio
0.04
0.026
0.105
0.112
0.051
2015 2016 2017 2018 2019
Times
Years
Net Working Capital to
Total Assets
IHH Healthcare Bhd

Sign up to view the full document!

lock_open Sign Up
Showing Page:
2/15
2015
2016
2017
2018
2019
8455.47
1056.44
= 8.00times
10021.89
1116.60
= 8.98times
11142.64
1260.10
= 8.84times
11520.93
1699.01
= 6.78times
14912.49
2107.90
=7.07times
8455.47
35497.89
= 0.24times
10021.89
37187.96
= 0.27times
11142.64
38924.23
= 0.29times
11520.93
45114.51
0.26 times
14912.49
45053.29
=0.33times
The account receivable turnover of IHH
among these five years are stable which is
at average of 7.934times. IHH is more
efficient to collect its debt from its account
receivable in 2016. It shows the highest of
account receivable turnover among these
five year which is at 8.98times. It means
that the account receivable takes average 41
days (365days divided by 8.98times) to pay
debt in 2016. However, in 2018, IHH show
the lowest account receivable turnover
which is at 6.78 times in a year. Thus, the
account receivable use average 54 days to
pay back the debt to IHH.
The total assets turnover is increase
steadily among five years which is
increased from 0.24 times in 2015 to 0.33
times in 2019. It indicates that IHH is
becoming more efficient from year to year
because IHH had uses its assets to generate
revenue effectively. In 2018, the ratio
dropped slightly to 0.26 which means that
IHH experiencing that the fixed assets are
not being utilized to their full capacity.
8
8.98
8.84
6.78
7.07
2015 2016 2017 2018 2019
Times
Year
Account Receivable
Turnover
0.24
0.27
0.29
0.26
0.33
2015 2016 2017 2018 2019
Times
Years
Total Assets Turnover

Sign up to view the full document!

lock_open Sign Up
Showing Page:
3/15

Sign up to view the full document!

lock_open Sign Up
End of Preview - Want to read all 15 pages?
Access Now
Unformatted Attachment Preview
IHH Healthcare Bhd 3.1 LIQUIDITY RATIOS Liquidity Ratios 2015 2016 2017 2018 2019 Current Ratio 4650.60 3236.48 4598.87 3641.9 8143.41 4044.98 10535.79 5482.84 7626.33 5349.23 = 1.44 times = 1.26times = 2.01times = 1.92times = 1.43times πΆπ‘’π‘Ÿπ‘Ÿπ‘’π‘›π‘‘ 𝐴𝑠𝑠𝑒𝑑𝑠 πΆπ‘’π‘Ÿπ‘Ÿπ‘’π‘›π‘‘ πΏπ‘–π‘Žπ‘π‘–π‘™π‘–π‘‘π‘–π‘’π‘  1414.12 4098.43 2277.1 956.97 5052.95 πΆπ‘’π‘Ÿπ‘Ÿπ‘’π‘›π‘‘ 𝐴𝑠𝑠𝑒𝑑𝑠 βˆ’ πΆπ‘’π‘Ÿπ‘Ÿπ‘’π‘›π‘‘ πΏπ‘–π‘Žπ‘π‘–π‘™π‘–π‘‘π‘–π‘’π‘  35497.89 37187.96 38924.23 45114.51 45053.29 =0.040times =0.026times =0.105times =0.112times =0.051times π‘‡π‘œπ‘‘π‘Žπ‘™ π‘Žπ‘ π‘ π‘’π‘‘ Net Working Capital to Total Assets At December 2017, the current ratio of IHH is the Current Ratio highest which is the current assets were 2.01times the value of current liabilities. The highest of the Times 2.01 1.44 1.92 1.43 1.26 current ratio of 2017 indicates that IHH is more likely to pay the creditor back. During 2015, 2016 and 2019, IHH shows the low current ratio (which 2015 2016 2017 2018 2019 Years not well in paying debts. Net Working Capital to Total Assets Times 0.105 is less between 1.0-1.50), it shows that they were IHH has a positive net working capital to total assets from year 2015 to 2019. It indicates that the company has a short-term liquidity to pay for its current obligations during these five years. For 0.112 year 2017 and 2018, the ratio of ...
Purchase document to see full attachment
User generated content is uploaded by users for the purposes of learning and should be used following Studypool's honor code & terms of service.

Anonymous
Nice! Really impressed with the quality.

Studypool
4.7
Trustpilot
4.5
Sitejabber
4.4