A nongovernmental not-for-profit hospital provides its patients with services that would normally be charged at 3 million. However, it estimates a 600,000 reduction because of contractual adjustments. It expects another 300,000 reduction because of bad debts. Finally, the hospital does not expect to collect 1,200,000 because this amount is deemed to be charity care. Which of the following is correct?

a.) Patient service revenues 1,800,000; Net patient service revenues 1,500,000

b.) Patient service revenues 1,800,000; Net patient service revenues 900,000

c.) Patient service revenues 1,800,000; Net patient service revenues 1,200,000

d.) Patient service revenues 3,000,000; Net patient service revenues 1,800.000

e.) Patient service revenues 3,000,000; Net patient service revenues 900,000

f.) Patient service revenues 3,000,000; Net patient service revenues 1,200,000