The Edwards Lake Community Hospital balance sheet as of December 31, 2016, follows.

Required
a. Record in general journal form the effect of the following transactions during the fiscal year ended December 31, 2017, assuming that Edwards Lake Community Hospital is a not-for-profit hospital.
(1) Information related to accrual of revenues and gains is as follows:
Patient services revenue, gross................................................ $3,500,900
Charity care........................................................................... 211,260
Contractual adjustments to patient service revenues........................... 1,520,000
Other operating revenues........................................................... 998,750
(2) Cash received includes:
Interest on investments in Assets Limited as to Use............................. 7,350
Collections of receivables........................................................... 2,960,600
(3) Expenses of $891,000 were recorded in accounts payable and $1,454,390 in accrued payroll. Since some of the nursing expenses met a temporary net asset restriction, $94,000 was released from temporary restrictions.
Administration expenses........................................................ 446,480
General services expenses....................................................... 524,360
Nursing services expenses....................................................... 1,031,800
Other professional services expenses............................................ 342,750
(4) Cash paid includes:
Interest expense (allocated half to nursing services
and half to general services)....................................................... 280,000
Payment on mortgage principal................................................. 500,000
Accounts payable for purchases.................................................... 836,800
Accrued payroll....................................................................... 1,279,500
(5) Interest of $1,180 accrued on investments in Assets Limited as to Use.
(6) Depreciation charges for the year amounted to $117,000 for the buildings and $128,500 for equipment. Depreciation was allocated 45 percent to nursing services, 15 percent to other professional services and 20 percent to each administrative and general service.
(7) Other information:
(a) Provision for uncollectible receivables was determined to be adequate.
(b) Supplies inventory balances:

(c) Portion of mortgage payable due within one year, $500,000.
(8) A $663 unrealized loss on investments occurred.
(9) Nominal accounts were closed. Necessary adjustments were made to increase the Net Assets-Unrestricted, Designated for Plant.
b. Prepare a balance sheet as of December 31, 2017.
c. Prepare a statement of operations for the year ended December 31, 2017.
d. Prepare a statement of cash flows for the year ended December 31, 2017.

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EDWARDS LAKE COMMUNITY HOSPITAL Balance Sheet As of December 31, 2016 Assets Current assets: Cash and cash equivalents Accounts and notes receivable (net of uncollectible accounts of $15,800) Inventory $ 259,300 26,500 71,000 356,800 Total current assets Assets limited as to use Cash Investments 17,140 229,220 Total assets limited as to use 246,360 Property, plant, and equipment: Land Buildings (net of accumulated depreciation of $1,623,000) Equipment (net of accumulated depreciation of $1,024,500) 210,100 2,893,000 1,858,800 Total property, plant, and equipment 4,961,900 5,565,060 Total assets Liabilities and Net Assets Current liabilities: Accounts payable Accrued payroll Current portion of mortgage payable 19,200 45,000 500,000 564,200 2,500,000 3,064,200 Total current liabilities Long-term debt-mortgage payable Total liabilities Net assets Unrestricted Undesignated Designated for plant 2,082,760 246,360 171,740 2,500,860 Temporarily restricted Total liabilities and net assets 5,565,060 12/31/2016 $8,000 8,700 17,000 12/31/2017 Administration General services Nursing services Other professional 7,300 9,000 16,800 37,300 $71,000 40,000 $73,100 services Totals