Which of the following is true regarding accounting and financial reporting for not-for-profit health care organizations?

Question

Quizplus · Accepted Answer

Charity care is not reported as operating revenue in not-for-profit health care organizations. It is reported as an expense since it represents the cost of the services provided for free or at a reduced cost. Contractual adjustments with insurance companies are also not reported as an operating expense, but as a deduction from gross patient revenue to arrive at net patient revenue.

Which of the Following Is True Regarding Accounting and Financial