Question 1 of 10

A hospital taxing district and a state university with an affiliated teaching hospital can both be described as:

government entities.

voluntary entities.

profit-oriented entities.

entities that must pay income tax.

Question 2 of 10

The Green Tree Nursing Facility possesses another note receivable in the amount of $9,000. This note will be paid in three installments: $3,000 in six months, $3,000 in eighteen months, and the remaining $3,000 in twenty-four months. The accountant will record this note receivable as follows:

current, or short-term asset of $9,000.

long-term asset of $9,000.

current asset of $3,000 and long term asset of $6,000.

current asset of $6,000 and long-term asset of $3,000.

Question 3 of 10 5

Procedure codes, known as Current Procedural Terminology (CPT) codes, are most commonly used to group cost centers for:

inpatient services.

outpatient services.

the cost of doing business.

expenditures.

Question 4 of 10

Indirect costs are sometimes called _____ costs.

common

uniform

joint

Both A and C are correct.

Question 5 of 10

Assume the following: Cost of goods sold = $130,000; Purchases = $170,000; Beginning inventory = $40,000; Ending inventory = $80,000; Current assets = $240,000. Required: Calculate the average inventory, as used when calculating inventory turnover. Correct answer is:

60000

80000

120000

210000

Question 6 of 10

The current ratio is typically measured against a standard of:

1 to 1.

2 to 1.

1 to 2.

2 to 2.

Question 7 of 10

Which of these statements is correct?

Flexible budgets can be used to review prior performance of a department.

Static budgets may be used to plan a goal for the budget period.

Both of the above

Neither of the above

Question 8 of 10

Estimates may be relied upon as inputs to certain reports. However, such estimates would not be appropriate when preparing:

internal financial statements.

budgets.

audited financial statements.

forecasts.

Question 9 of 10

When purchasing equipment, the asset representing the equipment purchase is recorded on the organization's:

statement of income.

balance sheet.

Neither of the above

Both of the above

Question 10 of 10

The final compliance date for adoption of ICD-10-CM and ICD-10-PCS codes (as of the date of this writing) is October 1:

2013

2014

2015

2016