Dom D1, DUTO. Problem IV: The December 31, 2017 statement of financial position of Mosholu Medical Center, a major urban not-for-profit hospital and research center, is presented below. All amounts are in thousands U12.2011 Mashalu Medical Center Statement of Financial Position as of December 31, 2017 Labilities Current Assets Current liabilities 12,704 counts payable Receives for patient care net) 64.71 cred wapes and salaries 24.402 Total current italities Markete wecurities 187,909 Noncurrent liabilities Oxher current assets 27 RS long-term det Total current assets 107.578 Deferred revenue & other moncurrent habilities Noncurrent assets Total noncurrent liabilities Property, plant, equipment ($512,184 Total liabilities 292 370 199.300 $12.2011 accumulated depreciation $221 259) 281,925 Net assets Other assets 11.522 restricted Total noncurrent assets 100.447 Tengarily Restricted Total assets 1608025 Permanently Restricted Total net assets Total liabilities & met assets 15.722 62.960 17. 1136 95821 GOS ! nobo The following transactions and events occurred in 2018 (all dollar amounts in thousands): 1. The hospital provided $705,943 in patient care at standard rates. On average, it expects to collect approximately 75 percent ($529,457) of this amount, owing mainly to discounts allowed third-party payers. Further, it expects that 5 percent of the 75 percent ($26,473) will have to be written off as bad debts. 2. It collected $480,125 in patient accounts and it wrote off $50.000 of bad debts. 3. It also provided $52,000 in charity care which it never expected to collect. 4. It earned $15,040 in investment income, of which $10.080 is unrestricted and $4,960 is temporarily restricted. 5. It purchased plant and equipment of $2,242, all of which was paid for with restricted resources 6. It charged depreciation of $29,262 7. It received unrestricted pledges of $2,070 and temporarily restricted pledges of $120. It collected all of the unrestricted pledges and $100 of the temporarily, restricted pledges. 8. It earned other operating revenues (including those from auxiliary liary T enterprises) of $135,000. 9. It incurred $430,650 in wages and salaries, of which it paid $425,000. The balance was accrued. It also incurred $200,000 in other operating expenses (including those of auxiliary enterprises), of which it paid $198,500. The balance was vouchered (and thereby credited to accounts payable) own hoog 10. It incurred and paid $210.200 in costs related to restricted to contracts and grants (amounts that were not included in any other expense category). It was reimbursed for $206,800 and expects to be reimbursed for the balance in the future. In addition, it received $3,000 in advances on other grants. hum a no 1000 11. The other operating expenses include insurance costs. However, under "retrospective" insurance policies, the hospital anticipates having to pay an additional $3.500 in premiums.n o Required: bu t erotanob ovog 2 a. Prepare journal entries to record the transaction. Be sure to indicate whether each entry would affect unrestricted, temporarily restricted, or 10) permanent restricted net assets. ZHVI OJ OPEZ 1o y los b. Prepare a statement of activities for 2018 and a statement of lou o financial position as of December 31, 2018. un to
