FINAL- excluding midterm

inflation ___ the value of money

decreases

internal control means the system is designed to catch and correct errors

automatically

accounts receivable net is gross charges less what items?

bad debts contractual allowances

which financial statement is a 'snapshot' of the organizations financial health

balance sheet

the historical cost of an item less the accumulated depreciation of the item is known as

book value

A lump-sum amount that is less than would be paid in total on a fee-for-service basis is a:

bundled payment

Net Patient Services Revenue is what the organization is legally entitled to collect. Original charges are reduced by:

contractual allowance discounts charity care all choices are correct

This fee is usually due at the time of service in order to see a provider:

copayment

managerial accounting looks

forward

a system of accounting where each entity has its own set of financial records and statements

fund accounting

The Sarbanes-Oxley Act:

requires disclosure of conflicts of interest provides protection for whistleblowers requires periodic rotation of auditors All of the choices are correct

money received or earned for goods or services provided are known as

revenue

the ___ shows where an organization generates its cash and uses it over the accounting pero=iod

statement of cash flows

what is the term for a claim that an outside investor has on an organization

stockholder's equity

resources owned by the organization that have physical form

tangible assets

Using the accrual method of accounting will require a Statement of Cash flows.

true

Whether for profit or not-for-profit, health organizations need profits.

true

all stock for an organization should at least be initially issued for the par value to reduce owner liability (T/F)

true

fraud is an intentionally deceptive action designed to provide the perpetrator with an unlawful gain (T/F)

true

inventory is less liquid than receivables (T/F)

true

inventory management is the movement of products in stock and should always use the FIFO method no matter the costing method used (T/F)

true

no matter which depreciation schedule is used for the journal entries for the initial purchase will remain the same (T/F)

true

real accounts carry their balances on to the next reporting period

true

the statement of operations and the income statement are the same document (T/F)

true

a 'certified statement' means the documents reviewed are error free and correct (T/F)

false

a good strategy is to maximize an organizations liquidity and solvency

false

an auditor reviews all documents to determine accuracy (T/F)

false

financial statements are the responsibility of the auditor or the CPA (T/F)

false

nominal accounts are zeroed out after the reporting year has ended

false

organizations must always have enough cash on hand to pay off stockholder's equity (t/F)

false

Lower ___ lead to lower texas

profits

A piece of equipment was purchased on 1/1/20X1. It has a useful life of 5 years and salvage value of 10%. Accumulated depreciation amounted to 100,000 on 12/31/20X5. what was the purchase price (historical cost) of the item?

$111,111.00

Given a beginning inventory of 10 units @ $4/each the following purchases were made: 10 units 3/21 @ $5.00/each 11 units 11/14 @ $6.00/each 6 units 6/16 @ $5.00/each 25 units 2/15 @ $4.50/each 5 units 12/15 @ $8/each What is the inventory valuation based on LISH? 50 units were sold at $25 each

$111.00

Purchased: 1/15 2units @ $75.00/each 6/15 2 units @ $150.00/each 8/15 1 unit @ $80.00/each 10/15 1 unit @ $100/each IS Using specific identification if 3 units were sold for $500/each what would be the profit generated?

$1200

Given a beginning inventory of 10 units @ $4/each the following purchases were made: 10 units 3/21 @ $5.00/each 11 units 11/14 @ $6.00/each 6 units 6/16 @ $5.00/each 25 units 2/15 @ $4.50/each 5 units 12/15 @ $8/each If 50 units were sold @ $25.00/piece What is the revenue generated?

$1,250

Given: 12/15/2021 Purchased 10 units @ $15.00/ea 1/15/2021 Purchased 5 units @ $5.00/ea Beginning Balance of 10 units @ $3.50/ea 3/15/2021 Purchased 25 units @ $10/ea 6/15/2021 Purchased 20 units @ $12.50/ea Sold 45 units @ $75.00/each What is the profit using the weighted average costing method?

$2,918.70

Given a beginning inventory of 10 units @ $4/each the following purchases were made: 10 units 3/21 @ $5.00/each 11 units 11/14 @ $6.00/each 6 units 6/16 @ $5.00/each 25 units 2/15 @ $4.50/each 5 units 12/15 @ $8/each If 50 units were sold @ $25.00/each. Using FIFO what is the cost of goods sold?

$227.50

Given a beginning inventory of 10 units @ $4/each the following purchases were made: 10 units 3/21 @ $5.00/each 11 units 11/14 @ $6.00/each 6 units 6/16 @ $5.00/each 25 units 2/15 @ $4.50/each 5 units 12/15 @ $8/each If 50 units were sold @ $25.00/each. Using LIFO what is the cost of goods sold?

$267

Given: 12/15/2021 Purchased 10 units @ $15.00/ea 1/15/2021 Purchased 5 units @ $5.00/ea Beginning Balance of 10 units @ $3.50/ea 3/15/2021 Purchased 25 units @ $10/ea 6/15/2021 Purchased 20 units @ $12.50/ea Sold 45 units @ $75.00/each What is the revenue generated this year?

$3,375.00

Purchased: 1/15 2 units @ $75.00/each 6/15 2 units @ $150.00/each 8/15 1 unit @ $80.00/each 10/15 1 unit @ $100/each Using specific identification if three units were sold what is the remaining inventory valuation?

$330.00

1/15/2021 purchased 1 unit $950; 9/15/202 purchased 4 units $900/ea; 3/15/2021 purchased 3 units $800/each; 12/2/2021 purchased 2 units $970/ea. Using specific identification, what is the profit of selling 5 units at $1600/each?

$3750.00

Given: 1/15/2021 purchased 1 unit $950; 9/15/202 purchased 4 units $900/ea; 3/15/2021 purchased 3 units $800/each; 12/2/2021 purchased 2 units $970/ea. Using specific identification what is the COGS? Selling 5 units at $1600/each?

$4,250.00

Given a beginning inventory of 10 units @ $4/each the following purchases were made: 10 units 3/21 @ $5.00/each 11 units 11/14 @ $6.00/each 6 units 6/16 @ $5.00/each 25 units 2/15 @ $4.50/each 5 units 12/15 @ $8/each What is the average price per unit of the total inventory that year.

$5.05

Using the Sum of Years Digits method find the depreciation in year 3 for the following: Purchase Price: $325,000 Useful Life of 5 years Salvage Value of $5,000

$64,000.00

Given a beginning inventory of 10 units @ $4/each the following purchases were made: 10 units 3/21 @ $5.00/each 11 units 11/14 @ $6.00/each 6 units 6/16 @ $5.00/each 25 units 2/15 @ $4.50/each 5 units 12/15 @ $8/each If 50 units were sold @ $25.00/each. What is the inventory valuation using FISH?

$71.50

Given• 12/15/2020 10 units @ $13 6/15/2020 10 units @ $9 1/15/2020 10 units @ $5 3/15/2020 20 units @ $7 9/15/2020 20 units @ $11 52 units were sold for $15.50/unit What was the revenue generated over the year?

$806

The "near term", "short-term" or "current" in accounting means [ ] or less.

12 months

Jerry bought a new tractor for $40,000 for his landscaping business. He thinks it will last him 5 years at which time he will sell if for scrap for $750.00. Using the Double Declining Balance method of depreciation what is his depreciation expense for years 1 and 3 respectively?

16,000 and 5,760

there are how many methods to calculate statement of cash flows

2

Given a beginning inventory of 68 units and purchases of 42 units what is the ending inventory balance if the organization sold 86 units over the year?

24

a piece of equipment was purchased for 65,000 on 1/1/20X1 and has a salvage value of 20% and expected useful life of 10 years. What is the straight line depreciation amount per year?

5,200

the idea that one will not be able to replace inventory items for lower costs because of inflation is the basis of which inventory costing method

LIFO

Non-profits have to have CPA audited financial statements.

true

the unit for which we wish to account. this can be a person, department, project, division, or organization. It is defined as

entity

All patients pay their financial obligations.

false

Most undetected fraud is "material" in accounting. (T/F)

false

this type of asset results in substantial valuation difficulties because it has no physical form

intangible assets

the users of financial statements are

investors, stockholders, bankers, suppliers, all of the choices are correct

a ___ combines account balances from the beginning of the reporting period as well as journal entries for that recording period

ledger

Obligations of the organization to outside creditors.

liabilities

____ protects owners of a corporation from being personally liable for the debts of the corporation

limited liability

assets are presented on the balance sheet in order of

liquidity

It takes ____________________ dollars to purchase the same item during times of inflation.

more

The first item listed on healthcare financial statements and reflects the adjustments of charity care and contractual adjustments is known as:

net patient services revenue

what are the 3 types of cash flows shown on the statement of cash flows

operating financing investing

insurance companies and government agencies that pay the cost of treating patients are known as

third party payers

Embezzlement is when the individual person or entity misappropriates the assets entrusted to him or her (T/F)

true