A Private,not-For-Profit Hospital Uses a Fund Structure Which Includes a General

question 97

Multiple Choice

A private,not-for-profit hospital uses a fund structure which includes a general fund and donor restricted funds.The hospital's revenues from nursing programs and gift shops should be accounted for in the:

• A) specific purpose fund.
• B) restricted current fund.
• C) general fund.
• D) time-restricted fund.

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Definitions:

Overapplied

Refers to the situation where the allocated manufacturing overhead cost is greater than the actual manufacturing overhead cost incurred.

Underapplied

A situation in which the allocated manufacturing overhead costs are less than the actual overhead costs incurred.

Raw Materials

Basic materials and components that are used in the manufacturing process to produce finished goods.

Journal Entries

Records in accounting that document financial transactions and their impact on the accounts of an organization in a chronological order.