Breakeven Point? - ANSWER total cost = total revenue
Working capital ratio - ANSWER current assets / current liabilities
Acid-test (quick) ratio - ANSWER (cash + AR + short-term investments) / current liabilities
debt to assets ratio - ANSWER total liabilities/total assets
FTE (full time equivalent) - ANSWER total number of hours per employee in a week / 40
(i.e. 12+14+40+30 div. by 40)
Profit margin - ANSWER NOI/Tot. Revenue. Defined as "income to sales. 2 types, gross
prof margin and net prof margin)
Net Operating Income (NOI) - ANSWER Total (gross) Revenue - operating expenses
Occupancy rate - ANSWER (# of resident days/facility beds) x 365
HCS - ANSWER Hazard Communication Standard. OSHA standard requiring employers to
inform workers of potentially hazardous chemicals.
Balance sheet formula - ANSWER Assets = Liabilities + Shareholders Equity
EBITDA - ANSWER Earnings before interest, taxes, depreciation, and amortization
1
, Amortization - ANSWER the reduction of a loan balance through payments made over a
period of time
revenue cycle management - ANSWER resident needs->service planning->staffing->bill-
ing/collections->
FICA SS Tax and Medicare Tax - ANSWER 6.2% and 1.45%
4 elements of a valid contract - ANSWER agreement, consideration, contractual capacity,
legality (in writing) "ACCL"
Liability insurance usually covers.. - ANSWER Bodily injury and property damage
Lock out tag out - ANSWER For all electrical equipment
safe electrical practices - ANSWER National Electrical Code or NEC
Following NFPA Life Safety Code - ANSWER fire plan, regular fire drills, detectors, training
on procedure, non combustable furnishing/draperies
Extinguisher class A - ANSWER ordinary combustibles such as wood/paper
Extinguisher Class B - ANSWER For flammable liquids and gas fires (grease, paint)
Extinguisher class C - ANSWER Live electrical equipment (panelling)
Extinguisher class D - ANSWER Combustable metals (aluminum)
2
Working capital ratio - ANSWER current assets / current liabilities
Acid-test (quick) ratio - ANSWER (cash + AR + short-term investments) / current liabilities
debt to assets ratio - ANSWER total liabilities/total assets
FTE (full time equivalent) - ANSWER total number of hours per employee in a week / 40
(i.e. 12+14+40+30 div. by 40)
Profit margin - ANSWER NOI/Tot. Revenue. Defined as "income to sales. 2 types, gross
prof margin and net prof margin)
Net Operating Income (NOI) - ANSWER Total (gross) Revenue - operating expenses
Occupancy rate - ANSWER (# of resident days/facility beds) x 365
HCS - ANSWER Hazard Communication Standard. OSHA standard requiring employers to
inform workers of potentially hazardous chemicals.
Balance sheet formula - ANSWER Assets = Liabilities + Shareholders Equity
EBITDA - ANSWER Earnings before interest, taxes, depreciation, and amortization
1
, Amortization - ANSWER the reduction of a loan balance through payments made over a
period of time
revenue cycle management - ANSWER resident needs->service planning->staffing->bill-
ing/collections->
FICA SS Tax and Medicare Tax - ANSWER 6.2% and 1.45%
4 elements of a valid contract - ANSWER agreement, consideration, contractual capacity,
legality (in writing) "ACCL"
Liability insurance usually covers.. - ANSWER Bodily injury and property damage
Lock out tag out - ANSWER For all electrical equipment
safe electrical practices - ANSWER National Electrical Code or NEC
Following NFPA Life Safety Code - ANSWER fire plan, regular fire drills, detectors, training
on procedure, non combustable furnishing/draperies
Extinguisher class A - ANSWER ordinary combustibles such as wood/paper
Extinguisher Class B - ANSWER For flammable liquids and gas fires (grease, paint)
Extinguisher class C - ANSWER Live electrical equipment (panelling)
Extinguisher class D - ANSWER Combustable metals (aluminum)
2
