Presented below are account balances for Monterey Hospital. In addition, cash transactions for the year ended December 31, 2012, are summarized in the T-account.

Required:
Using the information above and the Excel template provided, prepare:
a. A Statement of Operations and a Statement of Changes in Net Assets for the year ended December 31, 2012.
b. Statements of Cash Flow assuming:
1. Monterey Hospital is a private not-for-profit.
2. Monterey Hospital is a government-ownedhospital.

Transcribed Image Text:

BALANCE SHEET ACCOUNTS Cash Patient Accounts Receivable (net) $1,650,000 3,620,700 Accurnulated Depreciation 2,107,000 2,557,000 Net Assets-December 31, 2011 Net Assets-December 31, 2012 ACTIVITY ACCOUNTS Operating Expenses Bad Debts Restricted Net Assets (Time Restrictions) Redassification to Unrestricted Net Assets Restricted for Future Years CASH Beginning balance January 1, 2012 Collections from patients Colections from third parties $1,650,000 2,966,500 5,200,000 Salaries 6,210,000 2,191300 Operating expenses t purchases 25,000100,000 Payment principal LT Debt 500,000150,000 Purchase Endowment Investments Ending Balance December 31, 2012 $3,620,700