Transactions plus multiple statements. St. Catherine’s Diagnostic Center had the following ending balances at December 31, 20X0, for its assets, liabilities, and net assets accounts.

List and record each 20X1 transaction under the accrual basis of accounting. Then develop a balance sheet at end-of-years 20X0 and 20X1 and a statement of operations and a statement of changes in net assets for the year ended December 31, 20X1.

a. The center collected $2,000,000 in cash from outstanding accounts receivable.

b. The center purchased $2,000,000 of inventory on credit.

c. The center provided $9,100,000 of patient services on credit.

d. The center incurred $4,660,000 of labor expenses, which it paid in cash.

e. The center consumed $1,930,000 of supplies from its inventory in the provision of its diagnostic services.

f. The center paid $45,000 in cash for outstanding short-term notes payable.
g. The center collected $7,650,000 in cash from outstanding accounts receivable.
h. The center paid $1,800,000 in cash for outstanding accounts payable.
i. The center issued $3,800,000 in long-term bonds that it must pay back.
j. The center purchased $3,000,000 in new equipment using a short-term note payable.
k. The center incurred $51,000 in interest expense, which it paid in cash.
l. The center incurred $1,050,000 in general expenses, which it paid in cash.
m. The center made a cash payment of $780,000 toward principal payment of its outstanding bonds.
n. A local corporation gave an unrestricted $46,000 cash donation. (Hint: this transaction increases the unrestricted net assets account.)

o. The center received, in cash, $4,000 in interest income from unrestricted temporary investments.
p. The center transferred $518,000 in cash to its parent corporation.
q. The center incurred an annual depreciation expense of $95,000.
r. The center estimated that its provision for bad debt expense is $12,000.

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Givens Cash and temporary investments $300,000 Accounts receivable $2,500,000 Allowance for uncollectibles $200,000 Inventory $205,000 Plant and equipment $5,800,000 Accumulated depreciation $312,000 Accounts payable $230,000 Other short-term notes payable $30,000 Long-term bonds payable $400,000 Unrestricted net assets $7,632,800 Temporarily restricted net assets $200