A Hospital's Accounting Year Ends on June 30

question 4

Multiple Choice

A hospital's accounting year ends on June 30.Which of the following events requires the hospital to record an expense accrual at June 30?

• A)it hires nurses on June 28 and tells them to start working on July 5
• B)it orders a new piece of equipment on June 20 for installation on July 10
• C)its staff works during the week ended June 30,but is not paid until July 5
• D)it receives a delivery of medicines on June 20,which are not used until July

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Definitions:

Work Process

The sequence of tasks or activities that are carried out to produce a particular outcome, often within a professional or industrial setting.

Productivity

Productivity is the measure of efficiency with which goods and services are produced, often quantified as output per unit of input.

Quality

The degree to which a product, service, or process meets specified requirements and satisfies customer expectations.

Resource Utilization

The effective and efficient use of assets, materials, and labor within an organization to maximize output or productivity.