According to the AICPA audit guide, Health Care Organizations, revenue must be recorded using the patient discharge method.

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The AICPA audit guide, Health Care Organizations, states that healthcare organizations may use various revenue recognition methods based on the nature of their operations and the type of services they provide. The patient discharge method is one of the options, but it is not mandatory. Other acceptable methods include the percentage-of-completion method, the cost-recovery method, and the installment method. The choice of the method depends on the circumstances of each individual case.

According to the AICPA Audit Guide, Health Care Organizations, Revenue