Financial Statement Analysis:

Sophia Carpio-Macalintal Dental Clinics cash increased by 98% from 2011 up to 2012 because of the
increase of 14% in income. On the other hand, the cash decreased by 17.83% from 2012 2013 due to
the purchases and/or payments made on 2013. These purchases may include Leasehold Improvements,
Furniture and Fixtures, Dental Equipment, Transportation Equipment and payment of liabilities.
The Clinics liabilities decreased by 46.80% and 64% from 2012 to 2013 and 2011 to 2012 respectively
which may mean that the clinic was able to pay off some of its debt in those 3 years.
The total operating expense of 2013 decreased by 12% which may mean that she had spent less
compared to what she had spent on 2012 while the total operating expense of 2011 has increased by 19%
on 2012 which may mean that her expenses increased and that she needed to cover it up by earning
more income.
The Net Income of 2013 decreased by 90% of its net income in 2012 because of the decrease of her
professional income in 2013.
The professional income of Sophia Carpio-Macalintal has increased by 14% from 2011 to 2012 which
means that her clinic is generating more income as it grows.
Ratio Analysis:

Working Capital
Current Ratio
ROA
Gross Margin

2013

2012

2011

P 355,162.48

P 470,605.52

P 326,147.96

33.60 : 1

27.11 : 1

12.03 : 1

8.75

8.93

0.11

1.04%

8%

11%

The companys working capital and current ratio is high which indicates that the company will
be able to make its payments on time.

The current ratio increased from 12.03:1 to 27.11:1 in 2011 up to 2012 because of the increase
in current asset and a decrease in current liabilities.