Health Care Organization - Essay Example

In 2009, the net loss was huge hence the higher negative ratio. AMN’s Total margin is negative for both years, but better comparatively in 2011 which is because the expenses incurred are greater than Revenue generated. AMN’s Days Cash on hand is 0, which is because AMN has very less hand and so has no number of days for existing cash to be paid to creditors. AMS’s Days A/R has increased in 2011 and is far more than in 2009. It is mainly due to the fact that A/R has increased, significantly.

AMN’s Long term to equity has increased from 0.59 to 1.28, which is because AMN has employed more debt in its capital structure, not only to meet its current but also long-term obligations. AMN’s Sales per FTE has increased a bit in 2011, due to Revenue increasing the same year. Lastly, AMN’s EBITDA has increased to a positive figure in 2011 from 2009, which is a significant improvement as AMN has been able to bring its operating income to positive figures. Now it will have to cut on its operating expenses to generate a positive net income.