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VARVARA [1.3K]
1 year ago
6

Where would a capitation fee be reported on a health care entity’s financial statements?

Business
1 answer:
loris [4]1 year ago
6 0

The capitation fee would be a part of credit side of the profit and loss account in the health's care entity's financial statements.

Given that health care entity want to record capitation fee in it's financial statements.

We are required to answer to the question that how capitation fee is recorded in a health care'sn financial statements.

Financial statements are basically the written records that convey the business activities and the financial performance of a company. The balance sheet gives an overview of assets, liabilities, and shareholders' equity as a snapshot in time.

When a health care entity receives capitation fee it would be recorded on the credit side of the profit and loss account because the capitation fee is a income of the health care entity.

Profit and loss account is an account that records expenses and incomes of the company.Expenses are recorded on debit side and incomes are recorded on credit side of profit and loss account.

Hence the capitation fee would be a part of credit side of the profit and loss account in the health's care entity's financial statements.

Learn more about profit and loss account at brainly.com/question/26240841

#SPJ4

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Answer :

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Explanation :

Shareholders are the primary owners of the company who have company's common stock with expectation on their investment in form of dividends and share appreciation.

The primary goal of the corporate management team is to maximize the wealth of their principal (shareholders) who have entrusted them with their fortunes .

Shareholders' wealth maximization objective is achieved when management team invest in a viable project or reduce the operating costs of the company.

6 0
2 years ago
Wages salaries expense is equal towhat?
Sergio039 [100]
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6 0
3 years ago
Dan sells newspapers. Dan says that a 8 percent increase in the price of a newspaper will decrease the quantity of newspapers de
ivann1987 [24]

Answer:

For Dan, the demand is price inelastic

Explanation:

One of the factors tat affect the quantity demand for a product is the price of the product. According to the law of demand, at lower price more quantity of a product would be purchased than at a higer price, all other this being being equal.

Price elasticity of Demand (PED)

The extent to which a change in price will cause a change in the quantity demand for a product is called the price elasticity of demand. It measures the degree of responsiveness of quantity demand to a change in price.

It is calculated as

PED =% change in quantity demand / % change in price.

For Dan Newspaper , the price elasticity of demand

             = 4%/8%

            = 0.5

If the PED is greater than 1, the demand is price elastic

If the PED is less than 1 , demand is price inelastic

For Dan, the demand is price inelastic

4 0
2 years ago
Auditors may use positive and/or negative forms of confirmation requests for accounts receivable. Of the following, which combin
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Answer:

B

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4 0
2 years ago
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ivann1987 [24]

Answer:

Warranty liability $2,128

Explanation:

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5 0
3 years ago
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