Which of the Following Is Not True Regarding Accounting and Financial

question 78

Multiple Choice

Which of the following is not true regarding accounting and financial reporting for private not-for-profit hospitals?

• A) Expenses may be unrestricted or temporarily restricted depending on donor intent.
• B) Fund accounting is not required.
• C) The Statement of Cash Flows may use either the direct or indirect method.
• D) Net assets are classified as Unrestricted, Temporarily Restricted or Permanently Restricted.

---

Definitions:

Intense Response

A strong or extreme reaction to a particular stimulus or event.

Type A Personality

A temperament characterized by high levels of competitiveness, self-imposed stress, and a constant sense of urgency.

Heart Disease

A broad term for a range of diseases affecting the heart, including coronary artery disease, heart rhythm problems, and heart defects among others.

Hostility

Aggressive or antagonistic attitudes or behaviors towards others, which can be overt or covert.