Question 1

Which of the following would usually be considered as temporarily restricted net assets in a nongovernmental not-for-profit hospital?

Accepted Answer

A)  Investment income. 
B)  Donated services by senior citizens. 
C)  A permanent endowment received from the city's leading citizen. 
D)  A research grant from the federal government to study high blood pressure. 
A)  Investment income. 
B)  Donated services by senior citizens. 
C)  A permanent endowment received from the city's leading citizen. 
D)  A research grant from the federal government to study high blood pressure.

Question 2

Which of the following is not a financial statement prepared by nongovernmental not-for-profit health care entities?

Accepted Answer

A)  Statement of changes in net assets. 
B)  Statement of revenues,expenses,and changes in net assets. 
C)  Balance sheet. 
D)  Statement of cash flows. 
A)  Statement of changes in net assets. 
B)  Statement of revenues,expenses,and changes in net assets. 
C)  Balance sheet. 
D)  Statement of cash flows.

Question 3

In accounting for health care entities,the provision for bad debt should always be recorded as a revenue deduction,rather than as an expense.

Accepted Answer

A) True 
 B)False

Question 4

All health care organizations report investments at fair value and report unrealized gains or losses on the statement of operations.

Accepted Answer

A) True 
 B)False

Question 5

Which of the following volunteer service is most likely to be reported by a private hospital as contribution revenue and an expense?

Accepted Answer

A)  Community members who plant flowers on the grounds once a year in the spring. 
B)  Volunteers in the gift shop who work a few hours a day serving customers. 
C)  Nurses from a religious organization who volunteer to assist in the care of critically ill children. 
D)  An accountant who is a member of the board of directors. 
A)  Community members who plant flowers on the grounds once a year in the spring. 
B)  Volunteers in the gift shop who work a few hours a day serving customers. 
C)  Nurses from a religious organization who volunteer to assist in the care of critically ill children. 
D)  An accountant who is a member of the board of directors.

Question 6

Independent health care organizations that associate for the specific purpose of obtaining financing are called a(an)

Accepted Answer

A)  Consolidation. 
B)  Obligated group. 
C)  Affiliation. 
D)  Joint venture. 
A)  Consolidation. 
B)  Obligated group. 
C)  Affiliation. 
D)  Joint venture.

Question 7

The statement of activities required by FASB standards for not-for-profit health care entities must display changes for the period in which of the following categories of net assets?

Accepted Answer

A)  Unrestricted,temporarily restricted,and net investment in capital assets. 
B)  Unrestricted,temporarily restricted,and permanently restricted. 
C)  Unrestricted,restricted,and invested in capital assets. 
D)  Spendable net assets and nonspendable net assets. 
A)  Unrestricted,temporarily restricted,and net investment in capital assets. 
B)  Unrestricted,temporarily restricted,and permanently restricted. 
C)  Unrestricted,restricted,and invested in capital assets. 
D)  Spendable net assets and nonspendable net assets.

Question 8

Which of the following is (are)considered an authoritative source of GAAP for nongovernmental not-for-profit health care entities?

Accepted Answer

A)  The AICPA Audit and Accounting Guide Health Care Entities. 
B)  The Healthcare Financial Management Associations' Financial Accounting and Reporting Manual. 
C)  The FASB Accounting Standards Codification (AS
C) . 
D)  All of the above are considered GAAP according to the GAAP hierarchy. 
A)  The AICPA Audit and Accounting Guide Health Care Entities. 
B)  The Healthcare Financial Management Associations' Financial Accounting and Reporting Manual. 
C)  The FASB Accounting Standards Codification (AS
C) . 
D)  All of the above are considered GAAP according to the GAAP hierarchy.

Question 9

Health care is provided by organizations that may be for-profit,not-for-profit,or governmental; although roughly half of all health care is provided by not-for-profit entities.

Accepted Answer

A) True 
 B)False

Question 10

Which of the following could be included in the performance indicator measure provided by a nongovernmental not-for-profit hospital?

Accepted Answer

A)  Contribution to an endowment. 
B)  Gain on sale of equipment. 
C)  Grant restricted for diabetes research. 
D)  Interest income that is temporarily restricted. 
A)  Contribution to an endowment. 
B)  Gain on sale of equipment. 
C)  Grant restricted for diabetes research. 
D)  Interest income that is temporarily restricted.

Question 11

FASB standards require that not-for-profit health care entities prepare a statement of changes in net assets.

Accepted Answer

A) True 
 B)False

Question 12

Similar to other not-for-profit entities,health care entities are required under FASB standards to report program and support functional expenses.

Accepted Answer

A) True 
 B)False

Which of the following would usually be considered as temporarily restricted net assets in a nongovernmental not-for-profit hospital?

Which of the following is not a financial statement prepared by nongovernmental not-for-profit health care entities?

In accounting for health care entities,the provision for bad debt should always be recorded as a revenue deduction,rather than as an expense.

All health care organizations report investments at fair value and report unrealized gains or losses on the statement of operations.

Which of the following volunteer service is most likely to be reported by a private hospital as contribution revenue and an expense?

Independent health care organizations that associate for the specific purpose of obtaining financing are called a(an)

The statement of activities required by FASB standards for not-for-profit health care entities must display changes for the period in which of the following categories of net assets?

Which of the following is (are)considered an authoritative source of GAAP for nongovernmental not-for-profit health care entities?

Health care is provided by organizations that may be for-profit,not-for-profit,or governmental; although roughly half of all health care is provided by not-for-profit entities.

Which of the following could be included in the performance indicator measure provided by a nongovernmental not-for-profit hospital?

FASB standards require that not-for-profit health care entities prepare a statement of changes in net assets.

Similar to other not-for-profit entities,health care entities are required under FASB standards to report program and support functional expenses.

Introduction to Accounting and Financial Reporting for Governmental and Not-For-Profit Entities

Principles of Accounting and Financial Reporting for State and Local Governments

Governmental Operating Statement Accounts; Budgetary Accounting

Accounting for Governmental Operating Activities-Illustrative Transactions and Financial Statements

Accounting for General Capital Assets and Capital Projects

Accounting for General Long-Term Liabilities and Debt Service

Accounting for the Business-Type Activities of State and Local Governments

Accounting for Fiduciary Activities-Agency and Trust Funds

Financial Reporting of State and Local Governments

Analysis of Governmental Financial Performance

Auditing of Governmental and Not-For-Profit Organizations

Budgeting and Performance Measurement

Accounting for Not-For-Profit Organizations

Not-For-Profit Organizations-Regulatory, Taxation, and Performance Issues

Accounting for Colleges and Universities

Accounting and Reporting for the Federal Government

Filters

Exam 16: Accounting for Health Care Organizations

Which of the following would usually be considered as temporarily restricted net assets in a nongovernmental not-for-profit hospital?

Which of the following is not a financial statement prepared by nongovernmental not-for-profit health care entities?

In accounting for health care entities,the provision for bad debt should always be recorded as a revenue deduction,rather than as an expense.

All health care organizations report investments at fair value and report unrealized gains or losses on the statement of operations.

Which of the following volunteer service is most likely to be reported by a private hospital as contribution revenue and an expense?

Independent health care organizations that associate for the specific purpose of obtaining financing are called a(an)

The statement of activities required by FASB standards for not-for-profit health care entities must display changes for the period in which of the following categories of net assets?

Which of the following is (are)considered an authoritative source of GAAP for nongovernmental not-for-profit health care entities?

Health care is provided by organizations that may be for-profit,not-for-profit,or governmental; although roughly half of all health care is provided by not-for-profit entities.

Which of the following could be included in the performance indicator measure provided by a nongovernmental not-for-profit hospital?

FASB standards require that not-for-profit health care entities prepare a statement of changes in net assets.

Similar to other not-for-profit entities,health care entities are required under FASB standards to report program and support functional expenses.

Introduction to Accounting and Financial Reporting for Governmental and Not-For-Profit Entities

Principles of Accounting and Financial Reporting for State and Local Governments

Governmental Operating Statement Accounts; Budgetary Accounting

Accounting for Governmental Operating Activities-Illustrative Transactions and Financial Statements

Accounting for General Capital Assets and Capital Projects

Accounting for General Long-Term Liabilities and Debt Service

Accounting for the Business-Type Activities of State and Local Governments

Accounting for Fiduciary Activities-Agency and Trust Funds

Financial Reporting of State and Local Governments

Analysis of Governmental Financial Performance

Auditing of Governmental and Not-For-Profit Organizations

Budgeting and Performance Measurement

Accounting for Not-For-Profit Organizations

Not-For-Profit Organizations-Regulatory, Taxation, and Performance Issues

Accounting for Colleges and Universities

Accounting and Reporting for the Federal Government

Filters