[Lighthaven]

I’m honestly just confused by this paragraph in the NFP problem in my Becker text regarding Patient Service Revenue:

“Patient service revenue should be accounted for on the accrual basis at established standard rates, even if the full amount is not expected to be collected. Although patient service revenue is accounted for on a gross basis, deductions are made from gross revenue to report patient service net of deductions.”

So is it accounted for under gross basis or accrual basis? Or is just stating that gross basis has to take into account deductions so it’s accrual? Or am I just way off base all around? Thanks!

AUD - 83
REG - 81 (2x)
FAR - 78
BEC - 85

And that's all she wrote.