Author Question: Long-term liabilities are liabilities that are due in a period longer than one year. a. True b. ... (Read 109 times)

jrubin · **on:** Jul 5, 2018

Long-term liabilities are liabilities that are due in a period longer than one year.
a. True
b. False
Indicate whether the statement is true or false

Question 2

Several high school seniors donate some time to a not-for-profit hospital. They perform services the hospital would not otherwise provide, such as reading to patients and wheeling them around hospital grounds.

The hospital estimates the value of these services at 6,500 if they had paid the students the minimum wage and at 8,800 if they had paid at fair value. How should the hospital report these donated services on the face of its operating statement?
a. report donated revenue and expenses of 6,500.
b. report neither donated revenue nor expenses.
c. report donated revenue and expenses of 8,800.
d. report donated revenue of 8,800 but do not report any expenses.