1.

Wellness Psychiatric Clinic received a large contribution from the family of a former patient. The contribution came with a request that the funds be used or invested to support any activities that the clinic felt would be best. On this not-for-profit clinics statement of cash flows, this contribution would be reported in which section?

Noncapital financing activities.

Operating activities.

Financing activities.

Investing activities.

2.

The Patient Protection and Affordability Act, passed in 2010,

Is unlikely to impact accounting and financial reporting for health care organizations.

May or may not impact Form 990 filings for 501(c)(3) health care organizations.

Requires health care organizations to implement new cost accounting systems where each service related to a medical procedure is tracked and submitted for payment separately.

Could impact the security and integrity of a health organizations accounting information system.