List and record each 20X1 transaction under the accrual basis of accounting. Then develop a balance sheet for end-of-years 20X0 and 20X1, a statement of operations, and a statement of changes in net assets for the year ended December 31, 20X1.

a. The hospital made a cash payment of $7,500,000 toward outstanding accounts payable.

b. The hospital collected $44,000,000 in cash from outstanding accounts receivable.

c. The hospital provided $230,000,000 of services on credit.

d. The hospital consumed $3,800,000 of supplies in the provision of its ambulatory services.

e. The hospital paid cash for incurred interest expense of $4,500,000.

f. The hospital purchased $30,000,000 in long-term investments and used cash for this purpose.

g. The hospital incurred $8,700,000 in general expenses that it paid for in cash.

h. The hospital made a $3,100,000 cash principal payment toward its long-term debt.

i. The hospital collected $145,000,000 in cash from outstanding accounts receivable.

j. The hospital purchased $6,900,000 of supplies on credit.

k. The hospital earned, but did not receive, $300,000 in income from its restricted net assets. The income can be used for general operations. (Hint: this transaction increases interest receivable and is also recorded under revenues, gains, and other support.)

l. The hospital incurred $750,000 in interest expense, which it paid for in cash.

m. The hospital incurred $98,000,000 in labor expenses, which it paid for in cash.

n. The hospital made a cash payment of $700,000 in advance for insurance expense.

o. The hospital transferred $1,000,000 in cash to its parent corporation.

p. The hospital incurred $5,900,000 in depreciation expense.

q. The hospital’s prepaid insurance of $600,000 expired for the year.

r. The hospital recognized $1,300,000 in bad debt for the year.

s. The hospital made a cash payment of $14,800,000 for radiology equipment.