1.Define the terms cash, short-term securities, accounts receivable, inventories, and prepaid expenses.

2.What are some of the differences in sources of capital between nonprofit organizations and for-profit organizations?

3.What are the three methods of calculating the effective annual rate? Explain each of these methods.

4.What is the main objective of managing cash flows? What are the reasons an organization should have cash on hand?

5.Explain why healthcare organizations use present value of money and future value of money for their investments.

6.Why do organizations need to perform a financial analysis? Explain each of the steps involved.