Assignment 1: Components of Balance Sheet and Statement of Net Income Refer to the Metropolis Health System (MHS) financial statements contained in Appendix 28-A. Use the MHS comparative balance sheet, statement of revenue and expenses, and statement of fund balance for this assignment. Required Identify the following MHS balance sheet components. List the name of each component and its amount(s) from the appropriate MHS financial statement. Current Liabilities Total Assets Income from Operations Accumulated Depreciation Total Operating Revenue Current Portion of Long-Term Debt Interest Income Inventories
Assignment 2: Components of Balance Sheet and Income Statement Refer to the Metropolis Health System (MHS) balance sheet and statement of revenue and expense in Chapter 28's MHS Case Study. Patient accounts receivable of $7,400,000 is shown as net of $1,300,000 allowance for bad debts (8,700,000 - 1,300,000 = 7,400,000).
(1) What percentage of gross accounts receivable is the allowance for bad debts?
(2) If the allowance for bad debts is raised to $1,500,000, where does the extra $200,000 go?
Assignment 3: Components of Balance Sheet and Income Statement Refer to the Metropolis Health System (MHS) balance sheet and statement of revenue and expense in Chapter 28's MHS Case Study. Property, plant, and equipment of $19,300,000 is shown as "net," meaning net of the reserve for depreciation. If the $19,300,000 is reduced by $200,000 (meaning the reserve for depreciation has risen), what happens on the income statement?