This assignment helps you apply your
knowledge from this week’s modules and readings.

As future managers in the healthcare
setting, it is important that graduates understand when making financial
decisions for a practice or facility you should be guided by the business’s
present financial status and future goals. Reading and interpreting
financial data is critical to getting an accurate accounting of the current
condition of the organization.

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A. Credit

B. Ledger

C. Debit

D. Trial balance

E. Account

F. Charts of accounts

G. Double-entry accounting

___.

A detailed record of
increases and decreases; is a specific asset, liability, equity, revenue, or
expense. Information from this is
analyzed, summarized and presented in reports and financial statements.

___.

Is a record
containing all accounts used by a company and their balances; it is referred
to as “the books”

___.

A list of all
accounts and usually includes an identification number assigned to each
account

___.

Refers to left;
increase: assets, expenses and withdrawals

___.

Refers to right;
increase: liabilities, owner capital and revenues

___.

Each transaction
affects at least two accounts; has at least one debit and one credit

___.

A list of accounts
from the ledger showing their debit or credit balance in separate
columns. A summary of the ledger’s
contents; is useful in preparing financial statements and in revealing
recordkeeping errors

A. Accrued
expenses

B. Accrued
revenues

C. The
time period assumption

D. Accrual
basis accounting

E. Profit
Margin

F. Prepaid
expenses

G. Unearned
(or prepaid) revenues

___.

Recognized revenue
when earned and expenses when incurred – not necessarily when cash inflows
and outflows occur. This information
is valuable in assessing a company’s financial position and performance.

___.

Refers to revenues
earned in a period that are both unrecorded and not yet received in cash.
Adjusted entries involve increasing (debiting) assets and increasing
(crediting) revenues.

___.

Refers to items paid
for in advance of receiving their benefits.
Are assets. Adjusting entries
involve increasing (debiting) expenses and decreasing (crediting) assets.

___.

The reporting
period’s net income divided by its net sales; reflects on a company’s
earning activities by showing how much income is in each dollar of sales.

___.

Refers to cash
received in advance of providing products and services; are liabilities;
adjusting entries involve increasing (crediting) revenues and decreasing
(debiting) unearned revenue.

___.

Refers to costs
incurred in a period that are both unpaid and unrecorded. Adjusting entries involve increasing
(debiting) expenses and increasing (crediting) liabilities.

___.

Presumes that an
organization’s activities can be divided into specific time periods for
periodic reporting.

A. Step 1

B. Step 2

C. Step 3

D. Step 4

___.

Post journal
information to ledger accounts.

___.

Prepare and analyze
the trial balance.

___.

Record relevant
transactions and events in journal.

___.

Presumes that an
organization’s activities can be divided into specific time periods for
periodic reporting.

A. Asset

L. Liability

E. Equity

___.

Owner’s capital

___.

Unearned revenue

___.

Buildings

___.

Medical Equipment

___.

Cash

___.

Medical Supplies

___.

Accounts Payable

___.

Owner’s withdrawals

___.

Prepaid Accounts

___.

Accounts receivable

___.

Accrued Liabilities

___.

Inventory

___.

Revenues

___.

Short-term notes payable

___.

Expenses

Cash

(a)

6,000

(b)

4,800

(e)

4,500

(d)

800

(f)

900

(g)

3,400

Web Servers

(a)

12,000

Accounts Payable

(f)

900

(c)

900

Supplies

(c)

900

Dr. Belle, Capital

(a)

25,600

Prepaid Insurance

(b)

4,800

Services Revenue

(e)

4,500

Selling Expenses

(d)

800

Cash

(a)

7,600

(g)

3,400

___.

The company paid $4,800 cash in advance for prepaid insurance
coverage.

___.

Dr. Belle created a new business and invested $6,000 cash, $7,600
of equipment, and $12,000 in web servers.

___.

The company purchased $900 of supplies on account.

___.

The company received $4,500 cash for services provided.

___.

The company paid $900 cash toward accounts payable.

___.

The company paid $3,400 cash for equipment.

___.

The company paid $800 cash for selling expenses.