8 Suppose a health care organization buys supplies from a vendor but has not yet paid for the supplies. The vendor will give a 5% discount to the health care organization if it pays the invoice within 20 days as an incentive to pay quickly. What is the liability that the health care organization should record on its balance sheet: the full cost of the invoice or the discounted amount?

8 Suppose a health care organization buys supplies from a vendor but has not yet paid for the supplies. The vendor will give a 5% discount to the health care organization if it pays the invoice within 20 days as an incentive to pay quickly. What is the liability that the health care organization should record on its balance sheet: the full cost of the invoice or the discounted amount?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

A health insurance policy pays 80 percent of physical therapy costs after a deductible of $260. In contrast, an HMO charges $18 per visit for physical therapy. How much would a person save with the HMO if he or she had 10 physical therapy sessions costing $65 each? (Do not round intermediate calculations. Round your final answer to the nearest whole dollar.) Savings with HMO
An impaired loan is: O a. Is one that has not made a payment in the last 30 days. b. Is one that has not made a payment in the last 90 days. O C. Is one that will be unlikely to make all payments as contracted on time. d. Is one that operates in an industry that has an expected reduction in its future prospects.
Vijay
A company charges a net single premium of S6,000 for a life insurance policy with face amount $25,000. The force of interest for this policy is 4 Find the probability that the company makes a profit if Benefit paid at the moment of death and the survival function is So(t) = 1- for 0
I really do not know why this one is popping up as incorrect. Please help
If your supplier offers 3/5 net 28, what is the implied interestrate if you choose to forgo the discount and pay on day 28?
Your child's orthodontist offers you two alternative payment plans. The first plan requires a $4,000 immediate up-front payment. The second plan requires you to make monthly payments of $137.41, payable at the end of each month for 3 years. What nominal annual interest rate is built into the monthly payment plan? a. 15.25% b. 7.34% c. 25.86% d. 11.42% e. 14.36%
Give answer with proper explanation please. Hand written solutions are strictly prohibited.
9. Define out of pocket maximum. a. A flat-rate fee you must pay when receiving any kind of health care service. b. The maximum amount of money your insurance will cover of a certain health care service. c. The maximum amount you will have to pay out of pocket in one year for the benefits your insurance covers. d. The maximum amount of money the insured party will pay toward prescription medications.
Auto insurance options offered by AA Auto Insurance are outlined in the table below. What monthly payment would you expect for an insurance polier through A Auto Insurance with the following options? Bodily Injury: S50/100,000 Property Damage: $100,000 Collison: S100 deductible Comprehensive: $100 deductible a.$845 b. $350 c. $7O d. $67
3. Two different insurance agents present you two health insurance policies as follows. AIA: It covers at most 10 outpatient visits with maximum reimbursement of 80%. For specialty, the policy would not be effective until your expenses exceed $2000. Each claim receives $800 for a maximum of 10 claims. HSBC Life: For outpatient visits, a maximum 20 visits are covered with the first 5 visits are of co-insurance rate of 80% and the next 15 visits are subject to 60% co- insurance rate. For specialty, you are allow to claim at most 5 with each claim capped at $1000. Your health care services consumed are as follows: Outpatient visits of 12 with each costs $300; Specialty of 3 with each costs $2500. Which agent's policy would ! you prefer? Explain.
9.- When you decide to reject the discount and pay on the last day of the credit term, there is a cost associated with forgoing the discount. TRUE OR FALSE?