Accounting for healthcare

HCS/380 v8

Accounting Investigation

HCS/380 v8

Page 2 of 2

Accounting Investigation

Complete Parts 1 and 2 below as you prepare for the interview process. The recruiter wants to ensure your foundational knowledge of these documents and your familiarity on the key elements of each financial document.

Part 1: Financial Document Data Knowledge

Write a 100-word response for each of the 3 questions. Enter your response on a new line.

· What are the 4 main financial statements, what’s on them, and what they are used for?

· How does the data flow from the transaction (e.g. MRI scan) to financial statements? Use the following key terms in your response: transaction, journal entry, general ledger, financial statement.

· In the health care industry, who are some of the key internal and external users of financial statements? What are the main day-to-day business decisions made by using financial statements (e.g., eligibility for an external loan)?

Part 2: Financial

Use the Stanford audited financial statements to complete the second column of the table below. Then use your knowledge from this course and add an example to complete the third column based on each provided line item.

Financial document line item	Corresponding $ amount on the consolidated financial statement (use the 2021 column)	Example included in each line item
Example: Supplies	$968,544	Medical supplies, pharmaceutical expenses
Cash and cash equivalents
Patient accounts receivables
Prepaid expenses
Accounts payable and accrued liabilities
Property and equipment
Long-term debt
Net patient service revenue
Salaries and benefits
Depreciation and amortization
Interest and investment income

Copyright 2023 by University of Phoenix. All rights reserved.

Copyright 2023 by University of Phoenix. All rights reserved.

image1.png