How to record in a journal? Cash collections from patient accounts were $820,000.
Since it is given cash collections from patient accounts, it means that there are receivables from patients.
When the revenue is accrued, the following entry might have been posted:
Accounts Receivables (Patients A/c) Dr $820,000
To Revenue from Operations a/c $820,000
When the cash is collected from the patients, the patients a/c should be nullified by giving credit and cash should be debited. Hence, the entry for the cash collections in journal is as follows:
Cash a/c Dr $820,000
To Accounts Receivables (Patients A/c) $820,000
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