ASSIGNMENT: FINANCIAL MANAGEMENT OF HEALTH SYSTEMS
1. Given below is a list of account balances for Dade Hospital as of December 31, 2016. Prepare a balance sheet as of December 31, 2016, in proper form. (Hint: You will need to compute the net assets account. Assume that all net assets at the beginning of the year are unrestricted.)
|
Account
|
Balance
|
|
Gross plant & equipment
|
$6,000,000
|
|
Accounts payable
|
130,000
|
|
Inventories
|
100,000
|
|
Other current liabilities
|
70,000
|
|
Net accounts receivable
|
650,000
|
|
Accrued expenses
|
100,000
|
|
Accumulated depreciation
|
200,000
|
|
Long-term debt
|
5,000,000
|
|
Cash
|
210,000
|
2. Below is a list of accounts for Dade Hospital for December 2016 (annual amounts). Prepare a statement of operations for 2016 in good form.
|
Account
|
Amount
|
|
Administrative expenses
|
$80,000
|
|
Net assets released from temporarily restricted accounts for operations
|
120,000
|
|
Labor expense
|
260,000
|
|
Interest expense
|
12,000
|
|
Net patient service revenue
|
840,000
|
|
Supply expense
|
88,000
|
|
Transfer to parent corporation
|
10,000
|
|
Bad debt expense
|
40,000
|
|
Depreciation expense
|
50,000
|
Format your assignment according to the following formatting requirements:
1. The answer should be typed, double spaced, using Times New Roman font (size 12), with one-inch margins on all sides.
2. The response also include a cover page containing the title of the assignment, the student's name, the course title, and the date. The cover page is not included in the required page length.
3. Also Include a reference page. The Citations and references should follow APA format. The reference page is not included in the required page length.