¶ … financial position of the nonprofit organization is designed to provide specific insights about its liquidity, long time solvency and assets management ratios. These areas will help to determine if the entity is facing tremendous financial challenges. Moreover, they will highlight how administrators can seize upon new opportunities in the future.
To determine the strength of the nonprofit organization a comparison will be conducted with the city of Charlottesville. The below table is contrasting various financial ratios.
The Liquidity, Long Time Solvency and Asset Management Ratios for the Non-Profit vs. Charlottesville
Nonprofit (Table 9.4)
Charlottesville 2005
Current Ratio
Working Capital
$1,041,067
$32,953,718
Quick Ratio
Debt to Asset Ratio
.17
("Financial Statement for a Small Nonprofit," 2006) ("City of Charlottesville...
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