The following transactions occurred during the year. Record these transactions.

• HHL took out a long-term loan for $3 million.
• HHL purchased $1 million in inventory with cash.
• HHL purchased equipment that cost $150,000 on account. The equipment is expected to last 15 years and has no salvage value.
• $540,865,000 (net of allowances and charity care) was billed for patient services. The hospital estimates that 5% of these bills will be bad debt.
• $875,000 of inventory was used.
• Donations of $400,000 were received in cash.
• HHL pays in cash for a 2-year malpractice insurance premium at a cost of $5 million. One-half of the premium is for next year, and the other is for the following year.
• HHL pays $12,560,000 in accounts payable.
• HHL workers earned $259 million in wages for the year. The hospital paid out $282 million in cash. It also paid out $60 million in benefits, all in cash.
• The equipment purchased in transaction c was paid for in cash.
• $370,500,000 from bills sent to patients was received in cash.
• HHL collected $25 million in outstanding patient bills in cash.
• The board is concerned that too much debt outstanding is bad for the organization. The board chooses to accelerate their debt payments for the year. HHL paid out $51 million in long-term debt principal and $3 million of interest in cash.
• Depreciation for the year was recorded?$23 million for existing fixed assets. Also, calculate the new depreciation necessary for the new equipment purchased this year, assuming straight-line depreciation.
• The contract with the IT company chosen is signed. The initial contract cost is paid, as well as the first year payment.

Using these transactions, create financial statements on the excel sheet provided (see picture as I did not see a way to upload it)

Thank You!

Kind HD 108OP EMEET AutoSave Off . ACC510 CHAPTER 18 FINAL TEMPLATE (1) Original Version - Compatibility Mode - Saved Kenney, Patricia KP File Home Insert Page Layout Formulas Data Review View Help Search Comments X Cut Calibri - 12 - A A 29 Wrap Text AutoSum CB) Copy General AY O 4 M Paste Fill - Format Painter BIU - - -A- Merge & Center $ % 9 60 20 Conditional Format as nsert Delete Format Sort & Find & deas Manual Formatting . Table Styles Clear Filter . Select Classification Clipboard Font Alignment Number Styles Cells Editing Ideas Data Protection D12 AA AB AC 1 Liabilities Net Assets Accounts Deferred Current payable Accrued Professional ong-term employee Professional Investments Other portion of and salaries and Due to insurance Other debt, less Accrued compensationsurance Other Without in real noncurrent long-term accrued related affiliates, liabilities - current current pension on plan liabilities - noncurrent donor With donor 2 estate -net assets debt expenses liabilities net current liabilities portion liability liabilities noncurrent liabilities restrictions restrictions 3 Beginning Balance 4 a) 5 6 ) 6 c) 7 d) 8 9 e ) 10 f) 11 8 ) 12 h ) 13 1 ) 14 15 1 ) 16 k ) 17 1 ) 18 m ) 9 n ) 20 0 21 0 0 0 22 Ending Balance 0 23 24 Capital Analysis Fin. Statements Transactions New Financials Ratios + + 100% 6:57 PM 8/7/2021 9 W X Meeting ID: 997 7111 3756 ASu 7508964 Passcode: 153190 Dial in: 9-1-929-205-6099