SEC Filings

10-12G
AMSURG CORP filed this Form 10-12G on 03/11/1997
Entire Document
 
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                                  AMSURG CORP.
 
         NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
 
  h. Revenue Recognition
 
     Revenue is recognized on the date of service, net of estimated contractual
allowances from third party medical service payors including Medicare and
Medicaid. During the years ended December 31, 1994, 1995 and 1996 approximately
39%, 37%, and 36%, respectively, of the Company's revenues were derived from the
provision of services to patients covered under Medicare and Medicaid.
Concentration of credit risk with respect to other payors is limited due to the
large number of such payors.
 
  i. Net Income Per Share
 
     Net income per share is computed by dividing net income by the weighted
average number of common shares and equivalents outstanding.
 
  j. Fair Value of Financial Instruments
 
     Financial Accounting Standard No. 107, "Disclosures About Fair Value of
Financial Instruments," requires disclosure of the fair value of certain
financial instruments. Cash and cash equivalents, receivables and payables are
reflected in the financial statements at cost which approximates fair value.
Management believes that the carrying amounts of long-term debt approximate
market value, because it believes the terms of its borrowings approximate terms
which it would incur currently.
 
  k. Management Estimates
 
     The preparation of financial statements in conformity with generally
accepted accounting principles requires management to make estimates and
assumptions that affect the reported amounts of assets and liabilities and
disclosure of contingent assets and liabilities at the date of the financial
statements and the reported amounts of revenues and expenses during the
reporting period. Actual results could differ from those estimates.
 
2.  ACQUISITIONS
 
     In three separate transactions during 1994, the Company acquired a majority
interest in three physician practice-based surgery centers. The purchase price
paid for the assets acquired was $5,966,759 which consisted of cash of
$4,481,730, AmSurg common stock valued at $1,102,649 and a note payable of
$382,380.
 
     In two separate transactions during 1995, the Company acquired a majority
interest in two physician practice-based surgery centers. The purchase price
paid for the interests acquired was $4,415,000 which consisted of cash of
$3,108,800, AmSurg common stock valued at $676,200 and a note payable of
$630,000.
 
     In seven separate transactions during 1996, the Company acquired a majority
interest in six physician practice-based surgery centers and a physician
practice and related entities. The purchase price paid for the interests
acquired was $14,045,080 which consisted of cash of $11,975,118 and AmSurg
common stock valued at $2,069,962.
 
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