The Following Information Comes from a Hospital's Financial Statements: Net

question 13

Multiple Choice

The following information comes from a hospital's financial statements: Net patient accounts receivable - $3.5 million;Gross patient service revenues - $15 million;Contractual adjustments - $3 million;and Charity care - $1 million.What is the hospital's number of days' revenue in patient accounts receivable (rounded to nearest whole day) ?

• A)85
• B)106
• C)116
• D)1147

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Definitions:

Average Fixed Cost

The constant expenses linked to manufacturing, when divided by the volume of goods produced, reduce as the amount of production expands.

Mixers

Devices used to blend or mix ingredients together in cooking or industrial processes.

Average Fixed Cost

When you divide the unchanging production costs by the total units produced, this value diminishes as the level of production goes up.

Mixers

Devices or software used to combine, adjust, and control the levels of different audio signals.