Going back to the Income Statement now, note the amount of Operating revenue for the most recent period. Assume that services during the year included Mr. Friday stayed in the hospital for 3 days and received services with gross charges amounting to $28,000. Although Mr. Friday had no insurance, he did have a significant source of income and had a sizable amount of assets. Attempts by the hospital to locate Mr. Friday to settle his bill have proven fruitless, and currently he has moved and has left no forwarding address. Where, if at all, and at what amounts will Mr. Friday’s gross revenue and net revenue appear on the Income Statement?
Going back to the Income Statement now, note the amount of Operating revenue for the most recent period. Assume that services during the year included Mr. Friday stayed in the hospital for 3 days and received services with gross charges amounting to $28,000. Although Mr. Friday had no insurance, he did have a significant source of income and had a sizable amount of assets. Attempts by the hospital to locate Mr. Friday to settle his bill have proven fruitless, and currently he has moved and has left no forwarding address.
Where, if at all, and at what amounts will Mr. Friday’s gross revenue and net revenue appear on the Income Statement?
Definition:
Income statement: The financial statement which reports revenues and expenses from business operations and the result of those operations as net income or net loss for a particular time period is referred to as income statement.
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