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1.For the year ended December 31, 2017, Rock River Community Hospital, a private nonprofit hospital, had the following transactions related to patient services: Amount billed
1.For the year ended December 31, 2017, Rock River Community Hospital, a private nonprofit hospital, had the following transactions related to patient services:
Amount billed to insurance companies and governments $2,500,000
Contractual adjustments 800,000
Amount of uncollectible accounts at December 31, 2017 75,000
Bad debts expense for 2017 125,000
For the year ended December 31, 2017, what amount should be reported for net patient service revenue on the Statement of Operations?
A.$2,500,000.
B.$1,700,000.
C.$1,575,000.
D.$1,625,000.
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