Examlex
For hospitals,contractual adjustments to 3rd party payers,such as insurance companies,are recorded with a debit to Contractual Adjustments (a contra-revenue account)and a credit to an allowance for contractual adjustments.
Acquisition
The process by which one company takes over another company either by purchasing its assets or its stock.
Goodwill
An intangible asset representing the excess of acquisition cost over the fair value of identifiable net assets acquired in a business combination.
Acquiring Company
A company that purchases most or all of another company's shares to gain control of that company.
Goodwill
An intangible asset that arises when a business is acquired for more than the fair value of its tangible and identifiable intangible assets.
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