There are 8 parts to this exam and should be completed on an excel spreadsheet only.
8 Acc 506 Final Exam Spring 2019 Part I 10 points 2/each The entire exam is to be completed in Excel. You can use the text box to answer Part 8 Be sure to show ALL TEXT BOX formulas Add/Subtract/multiply and divide in Excel. Add 123 321 454 764 351 Subtract 50000 -1500 -100 -321 -10 Multiply 100 X 10 Then add 13 Then subtract 32 - Part II. Prepare a Statement of Operations from the following relevant information: (10 points) (not all accounts may be used in solving this problem) Cash $300,000.00 Accounts Receivable $116,850.00 Patient Receivable $325,000.00 Patient Revenue $10,000,000.00 Labor $ 1,650,000.00 Wages Payable $ 35,000.00 Inventory (asset) $ 550,000.00 Inventory Expense $ 110,000.00 Insurance Expense $ 125,000.00 Accumulated Depreciation $ 250,000.00 Depreciation Expense $91,500.00 Premium Revenue $200,000.00 Operating Revenue $300,000.00 Interest Revenue $25,000.00 Medical Supplies and Drugs $123,000.00 Utility Expense $631,000.00 Part III. Prepare a Balance Sheet from the following relevant information. Not all accounts may be used in solving this problem. Be sure this statement is properly classified as to current and long terms (15 points) Cash $85,000,000.00 Patient Receivables $15,000,000.00 Patient Revenue $55,000,000.00 Prepaid Insurance $1,500,000.00 Insurance Expense $2,350.000.00 Inventory (asset) $4,555,000.00 Inventory Payable $200,000.00 Plant and Equipment $13,500,000.00 Depreciation Expense $6,850,000.00 Accounts Payable $ 3,250,000.00 Labor $12,000,000.00 Mortgage Payable $32,000,000.00 Net assets without restrictions $8,650,000.00 Net assets with donor restrictions ?????????????????? Part IV. Prepare a Statement of cash flow for ABC Hospital using the DIRECT method. Not all accounts may be used in solving this problem (15 points) Cash December 31, 2018 $65,000,000.00 Collection from Third Parties $10,000,000.00 Payment of Mortgage $1,500,000.00 Paid Ambulance loan $1,800,000.00 Paid Employees $2,650,000.00 Purchased stock of AAA $ 500,000.00 Purchased bonds of BBB $1,950,000.00 Purchased Stock of YYY Company $130,000.00 Paid Insurance $2,470,000.00 Paid Interest on bank loan $ 81,000.00 Depreciation expense $123,000.00 Cash December 31, 2019 ????????????? Part V. Record the following transactions in the T account. You may copy the T accounts to your answer sheet (15 pts) 3 each 1. Purchased insurance for $40,000 paying cash 2. Purchased medical supplies of $500,000 paying cash 3. Collected $50,000 from patients paying cash Part VI. Interpret the following journal entries (10 points) Example dr cr A Accounts Payable $10,000 Cash $10,000 Answer: Paid $10,000 to a vendor for something that was purchased on account 1 Labor $15,000 Cash $15,000 Answer 2 Patient receivable $20,000 Patient revenue $20,000 Answer 3 Medical Supplies $30,000 Accounts Payable $30,000 Answer 4 Mortgage Payable $40,000 Cash $40,000 Answer 5 Building $50,000 Mortgage Payable $50,000 Answer Part VII. ABC Hospital purchased new operating room equipment for $50,000 on January 1, 2019. (15 points) The equipment has a 7-year life and a scrap value of $1,000. Calculate the first 4 years of depreciation and book value using straight line, DDB and SYD methods. Be sure to show all work. Show your calculations here: Straight line DDB SYD Show your answers here: Straight line depreciation: Year Depreciation Book Value 2019 2020 2021 2022 DDB Year Depreciation Book Value 2019 2020 2021 2022 SYD Year Depreciation Book Value 2019 2020 2021 2022 Part VII. In a brief essay explain the difference between common size, liquidity, and efficiency ratios. (10 points)