Author Question: Property, plant, and equipment are assets that are expected to serve the business for many years. ... (Read 71 times)

itsmyluck · **on:** Jul 5, 2018

Property, plant, and equipment are assets that are expected to serve the business for many years.
a. True
b. False
Indicate whether the statement is true or false

Question 2

Which of the following is a major difference between a not-for-profit hospital's statement of operations and statement of changes in net assets?

a. contributions are not reported in the statement of operations, but are reported in the statement of changes in net assets.
b. net assets released from restrictions are not reported in the statement of operations, but are reported in the statement of changes in net assets.
c. the statement of operations does not cover changes in both unrestricted and restricted net assets, but the statement of changes in net assets does cover changes in both unrestricted and restricted net assets.
d. the statement of operations is not prepared on the cash basis of accounting, but the statement of changes in net assets is prepared on the cash basis of accounting.