Record the Following Transactions on the Books of St

Essay

Record the following transactions on the books of St. Marie's Hospital, a private not-for-profit hospital.
a) The Hospital billed patients $612,000 for services rendered. Of this amount, 5% is expected to be uncollectible. Contractual adjustments with insurance companies are expected to total $87,000.
b) The Hospital received $750,000 in pledges of support in a campaign undertaken to purchase new MRI equipment. All of the pledges are payable within one year and 8% are expected to be uncollectible.
c) Charity care in the amount of $36,000 at standard charges) was performed on an indigent patient.
d) The Hospital collected $487,200 for the services performed in 1) above. Actual contractual adjustments for these services amounted to $89,700. $ 13,700 of receivables were identified as uncollectible and written off.