Below is a list of accounts for Currie Hospital as of December 2004 (annual amounts) Prepare a statement of operations for 2004 in good? form.. ? ? ? ? ? ? ? ? ?
? ? Account ? ? ? ? Balance ? ? ? ? ? ? ? ? ? ? Administrative Expense ? ? 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 ? ? ? ? ? ? ? ? ? ? ? Using the Statement of
Operations (Income Statement) you just created, what is the ?Increase in Unrestricted Net Assets? Answer A. $430,000 B. $420,000 C. $120,000 D. $960,000 ????????
Q3 1. Refer to Megatropolis Hospital?s financial statements below for calculating the ratios requested in questions 3 – 8. Megatropolis Hospital Statement of
Operations For the Year Ended December 31, 2007 Revenues, Gains, Other Support Net patient service revenue $ 1,500,000 Other revenue 200,000 Total Revenue
1,700,000 Expenses Nursing Services 1,200,000 Administrative Services 200,000 Depreciation 100,000 Other Expenses 50,000 Total Expenses 1,550,000 Operating Income
150,000 Investment Income 50,000 Excess of revenues over expenses 200,000 Increase in Unrestricted Net Assets $ 200,000 Megatropolis Hospital Balance Sheet As of
December 31, 2007 (2006 omitted) Assets Current Assets Cash and cash equivalents $ 50,000 Net patient receivables 350,000 Total Current Assets 400,000 Properties
and Equipment Gross properties and equipment $ 900,000 Less accumulated depreciation 475,000 Net Properties and Equipment 425,000 Total Assets $ 825,000
Liabilities and Net Assets Current Liabilities Accounts Payable 200,000 Salaries Payable 50,000 Total Current Liabilities 250,000 Notes Payable 200,000
Unrestricted Net Assets 375,000 Total Liabilities and Net Assets $ 825,000 What is Megatropolis Hospital?s operating margin? Answer A. 8.0% B. 8.5% C. 8.8% D. None
of the above.?