Which of the Following Is True About Hospital Industry Profits

question 22

Multiple Choice

Which of the following is true about hospital industry profits from 1980 to 2000 and a five forces analysis?

• A)Virtually every factor caused profits to increase
• B)Virtually every factor caused profits to decrease
• C)Most factors are not applicable to the industry
• D)The Value Net cannot be used to evaluate the industry
• E)None of the above

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Definitions:

General Journal Entry

An entry in the general journal that records financial transactions in the order they occur, detailing debit and credit entries for accounting.

Effective Interest Method

The effective interest method is an accounting practice used to amortize bond premiums or discounts over the life of the bond, producing a constant rate of interest over the period.

Semiannual Interest Date

The twice-yearly date on which interest payments are made to bondholders or lenders.

Discount

A reduction from the usual cost of something, often used as a sales strategy to encourage purchases.