P19-13 Entries and Statements for General Fund of a Hospital LO 19-3 The postclosing trial balance of the general fund of Serene Hospital, a not-for-profit entity, on December 31, 20X1, was as follows: Cash Accounts Receivable Allowance for Uncollectibles Due from Specific-Purpose Fund Inventories Prepaid Expenses Investments Property, plant and Equipment Accumulated Depreciation Accounts Payable Accrued Expenses Deferred Revenue-Reimbursement Bonds Payable Fund Balance-Without Donor Restrictions Total Debit Credit $ 125,000 400,000 $ 50,000 40,000 95,000 20,000 900,000 6,100,000 1,500,000 150,000 55,000 75,000 3,000,000 2,850,000 $ 7,680,000 $7,680,000 During 20x2 the following transactions occurred: 1. Provided the value of patient services, $6,160,000. 2. Approved contractual adjustments of $330,000 from patients' bills. 3. Had operating expenses totaling $5,600,000 as follows: Nursing services Other professional services Fiscal services General services Bad debts Administration Depreciation $1,800,000 1,200,000 250,000 1,550,000 120,000 280,000 400,000 Accounts credited for operating expenses other than depreciation: Cash Allowance for Uncollectibles Accounts Payable Accrued Expenses Inventories Prepaid Expenses Donated Services $4,580,000 120,000 170,000 35,000 195,000 30,000 70,000 4. Received $75,000 cash from specific-purpose fund for partial reimbursement of $100,000 for operating expenditures made in accordance with a restricted gift. The receivable increased by the remaining $25,000 to an ending balance of $65,000. 5. Had payments for inventories and prepaid expenses of $176,000 and $24,000, respectively. 6. Received $85,000 income from endowment fund investments. 7. Sold an X-ray machine that had cost $30,000 and had accumulated depreciation of $20,000 for $17,000. 8. Collected $5,800,000 in receivables and wrote off $132,000. 9. Acquired investments amounting to $60,000. 10. Had $72,000 income from board-designated investments. 11. Paid the beginning balance in Accounts Payable and Accrued Expenses. 12. Had a $20,000 increase in Deferred Revenue-Reimbursement. 13. Received $140,000 from the plant replacement and expansion fund for acquiring fixed assets. 14. Had $63,000 in net receipts from the cafeteria and gift shop. Required: a. Prepare journal entries to record the transactions for the general fund. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) b. Prepare comparative balance sheets for only the general fund for 20X2 and 20X1. (Amounts to be deducted should be indicated by minus sign.) c. Prepare a statement of operations for the general fund with donor restrictions for 20x2. d. Prepare a statement of cash flows for 20x2 (indirect method). (Amounts to be deducted should be indicated by minus sign.)
