Which of the Following Is True Regarding the Financial Statements

question 14

Multiple Choice

Which of the following is true regarding the financial statements of a private sector not-for-profit hospital?

• A) Revenues are measured using the accrual basis of accounting.
• B) Changes in net assets must be shown by net asset classification.
• C) The Statement of Cash Flows uses a three-category format.
• D) All of the above are true.

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Definitions:

RLC Series Circuit

An electrical circuit consisting of a resistor (R), inductor (L), and capacitor (C) connected in a single line, forming a sequence of elements.

Power Factor

The ratio of the true power transmitted to a load to the apparent power in the circuit, indicating efficiency in electrical systems.

RLC Parallel Circuit

An electrical circuit consisting of a resistor (R), inductor (L), and capacitor (C) connected in parallel, affecting the circuit's impedance and frequency response.

Capacitive VARs

Reactive power generated or absorbed by capacitive elements in an AC circuit, contributing to the total power but not to work done.