In Order to Assess an Entity's Cash Performance It Is

question 9

Multiple Choice

In order to assess an entity's cash performance it is common to classify its activities into operating, investing and financing. For a small medical practice which of the following would be a financing activity?

• A) Paying for medical supplies.
• B) Borrowing $20 000 from a financial institution.
• C) Billing a patient for a consultation.
• D) Adding an extension to allow for 2 additional consultation rooms.

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Definitions:

Spoken Language

The method of human communication utilizing sounds and words, used in various forms across different cultures.

Written Language

A method of human communication that involves the representation of a language with written symbols.

Culture-Bound Theory

A concept suggesting that the understanding and interpretation of certain behaviors or phenomena are strongly influenced by specific cultural contexts.

Organ Transplantation

The surgical process of transferring an organ from a donor to a recipient to replace a damaged or absent organ.