St Joseph's Hospital began operations in December 2019 and had patient service revenues totaling $1,010,000 (based on customary rates) for the month of this, $125,000 is billed to patients, representing their insurance deductibles and copayments. The balance is billed to third party payors, including insurance companies and government health care agencies. St. Joseph's estimates that 20 percent of these third-party payor charges will be deducted by contractual adjustment. The hospital's fiscal year ends on December 31 Required: 1. Prepare the journal entries for December 2019. Assume 15 percent of the amounts billed to patients will be reduced through implicit price adjustments 2. Prepare the journal entries for 2020 assuming the following: a $106.000 is collected from the patients during the year and $10,200 of price adjustments are granted to individuals. b. Actual contractual adjustments total $201000. The remaining receivable from third party payors is collected (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) 1 1a Patient Accounts Receivable---3rd Party Payors 125,000 X Patient Accounts Receivable Patients 125,000 2 1b X Allowance for Implicit Price Adjustments Allowance for Contractual Adjustments 177,000 177,000 3 1c 18.750 Provision for Implicit Price Adjustments Allowance for Contractual Adjustments X 18,750 4 2a 106,000 Cash Patient Accounts Receivable-Patients >X 106,000 5 2b1 10,200% Allowance for Contractual Adjustments Patient Accounts Receivable-Patients BE 10,200 6 252 24,000 Provision for Implicit Price Adjustments Patient Accounts Receivable--3rd Party Payors 3 % 24,000