The Chief Financial Officer (CFO) of your Organization recalled that you should have completed the first Module of your Health Care Accounting Course. Having reviewed your syllabus, he believes that you must have acquired the competencies that would enable you to answer the following questions that he anticipates the participants at the upcoming Top Management Roundtable would ask him.
Question 1: Discuss the conceptual distinction between the accounting terms relating to equity and net assets.
Question 2: Critique the difference between cash and accrual accounting and discuss one significant advantage of accrual accounting over cash accounting.
Question 3: Evaluate the four methods of valuing assets and explain the strengths and weaknesses of each. Present your responses to the questions in a memo format to the CFO.