A not-for-profit medical center performs services in the current year at a charge of $1 million. Officials expect bad debts to be $94,000. Another $200,000 is viewed as charity services because no collection was expected at the time of the work. What should the medical center report as net patient service revenues?
a. $706,000 .
b. $800,000 .
c. $906,000 .
d. $1,000,000 .
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