Exam 22: Accounting for Not-For-Profit Organizations

Correct Answer:

Verified

1. Patient accounts receivable $\quad$$\quad$ 6,400,000
Patient service revenues - ungestricted $\quad$$\quad$ 6,400,000 2. Patient service revenues - unrestricted $\quad$$\quad$ 210,000
Contractual adjustments $\quad$$\quad$$\quad$$\quad$ 2,400,000
Courtesy discounts $\quad$$\quad$$\quad$$\quad$$\quad$ 37,000
Patient accounts receivable $\quad$$\quad$$\quad$$\quad$$\quad$ 2,647,000 3. Marketable securities $\quad$$\quad$$\quad$ 165,004
Temporarily restricted support $\quad$ 165,000 4. Cash $\quad$$\quad$$\quad$$\quad$ 182,000
Marketable securities $\quad$ 165,000
Temporarily restricted support - gain
on stale of marketable securities $\quad$ 17,000 Equpment $\quad$ 210,000
Cash $\quad$$\quad$ 210,000 Temporarily restricted net assets -
reclassifications out $\quad$$\quad$$\quad$$\quad$$\quad$ 182,000
Unrestricted net assets -
reclassifications in $\quad$$\quad$$\quad$$\quad$$\quad$ 182,000 5. Cash $\quad$$\quad$$\quad$ 285,006
Other operating revenue - unrestricted $\quad$ 285,000 6. Nursing service expense $\quad$$\quad$ 1,700,000
General services expense $\quad$$\quad$$\quad$$\quad$ 400,000
Cash $\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$ 2,100,000

Correct Answer:

Verified

1. Patient accounts receivable $\quad$$\quad$$\quad$ 3,700,000
Patient service revenues - unrestricted $\quad$$\quad$$\quad$ 3,700,000 2. Patient service revenues - unrestricted $\quad$ 360,000
Contractual adjustments $\quad$$\quad$$\quad$$\quad$ 1,200,000
Courtesy discounts $\quad$$\quad$$\quad$$\quad$$\quad$ 20,000
Patient accounts receivable $\quad$$\quad$$\quad$$\quad$ 1,580,000 bad debt expense $\quad$$\quad$$\quad$ 250,000
Allowance for uncollectible patient
Accounts receivable $\quad$$\quad$$\quad$ 250,040 3. Cash $\quad$$\quad$$\quad$$\quad$ 110,000
Premium revenue - unrestricted $\quad$ 110,000 4. Supplies inventory $\quad$$\quad$$\quad$ 75,000
Accounts payable $\quad$$\quad$$\quad$$\quad$ 75,000 Accounts payable $\quad$ 36,000
Cash $\quad$$\quad$$\quad$ 36,000 5. Cash $\quad$$\quad$$\quad$ 2,500,000
Temporarily restricted support $\quad$ 2,500,000 6. Construction in progress $\quad$ 275,000
Cash $\quad$$\quad$ 275,040 Temporarily restricted net assets -
reclassifications out $\quad$$\quad$$\quad$$\quad$ 275,000
Unrestricted net assets -
reclassifications in $\quad$$\quad$$\quad$$\quad$ 275,000