Following is a trial balance for Porschen Memorial, a nonprofit hospital:

During the fiscal year, the following selected transactions took place. 1. Porschen had capitation agreements with several HMOs, wherein the HMOs agreed to pay monthly premiums per member at the beginning of every month in exchange for Porschens agreement to provide hospital services to the HMO members. Porschen received premiums of $2,000,000 in cash during the year. In addition, Porschen billed its self-pay patients a total of $100,000. 2. Several self-pay patient accounts that were classified as uncollectible were written off. These accounts totaled $2,000. 3. The MP2 Corporation gave the hospital a grant for research into the use of a voice-activated microscope. The grant was for $500,000. The entire amount was immediately invested in marketable securities. 4. The following operating expenses were all incurred on credit.

Nursing and other professional services	$850,000
General expenses	$300,000
Administrative expenses	$175,000
Dietary services	$100,000

5. Self-pay patient receivables of $110,000 were collected. 6. Accounts payable of $1,400,000 were paid. 7. Several individuals in the community contributed a total of $1,000,000 for the expansion of the burn unit of the hospital. This money was invested in marketable securities until the plans for the unit were completed. 8. Debt service of $210,000 on the outstanding debt was paid in cash. Of this amount, $110,000 was for interest, and the rest was for debt principal. 9. The Hospitals Board of Directors decided to set aside $25,000 in cash from general hospital resources for the development of its professional nursing staff. 10. The construction and planning costs incurred on the new burn unit totaled $200,000. This amount was paid from resources contributed for that purpose. To make these payments, investments that originally cost $190,000 were sold for $205,000. In addition, $10,000 in cash income was received on the investments. Assume that (a) the income from the investments has the same restrictions as the original donation and (b) the hospitals accounting policy calls for realized and unrealized gains and losses on restricted net assets to be recorded in a single account. 11. During the year, the hospital received $25,000 in cash income from the investment of the MP2 grant money. Assume that the investment income is restricted in the same way as the original grant. 12. Research costs associated with the MP2 grant were $20,000. These costs were paid with cash generated by the investment of the original grant. 13. Larry Porschen III gave the hospital $15,000, which must be maintained intact. The income from the gift can be used in any way the managing board feels is helpful to the hospital. The money was immediately invested in marketable securities. 14. Investments in the Larry Porschen III Fund earned $2,000 during the year. Of this amount, $1,900 was received in cash. 15. The fair value of the remaining investments restricted for the burn unit at the end of the year was $850,000 Prepare journal entries for the above transactions. If no entry is necessary, select 'No debit (or credit) entry needed' in the account fields and enter 0 in the amount fields.

PORSCHEN MEMORIAL HOSPITAL Trial Balance-Beginning of Fiscal Year Cash $12,000 Patient accounts receivable 40,000 Allowance for uncollectible accounts $4,000 Land 600,000 Buildings 2,500,000 Accumulated depreciation-buildings 650,000 Equipment 2,000,000 Accumulated depreciation-equipment 400,000 Accounts payable 15,000 Notes payable 100,000 Bonds payable 2,000,000 Net assets without donor restrictions 0 1,983,000 $5,152,000 $5,152,000 PORSCHEN MEMORIAL HOSPITAL Trial Balance-Beginning of Fiscal Year Cash $12,000 Patient accounts receivable 40,000 Allowance for uncollectible accounts $4,000 Land 600,000 Buildings 2,500,000 Accumulated depreciation-buildings 650,000 Equipment 2,000,000 Accumulated depreciation-equipment 400,000 Accounts payable 15,000 Notes payable 100,000 Bonds payable 2,000,000 Net assets without donor restrictions 0 1,983,000 $5,152,000 $5,152,000