Multiple Choice
During the current year, Luis University received a $50,000 gift from an alumna who specified that it must be used to pay travel costs for faculty to attend health care conferences in foreign countries.During the year the university spent $8,000 to support travel to a health care conference in Italy.The $8,000 disbursement will cause a NET decrease in which class of net assets?
A) Unrestricted net assets.
B) Temporarily restricted net assets.
C) Permanently restricted net assets.
D) Cannot be determined.
Use the following information for Questions 5 and 6.
Lane College Foundation is governed by a board, some members of which are appointed by the president of Lane College and some of which are elected by the alumni.The foundation was created to solicit and accept donations on behalf of Lane College, a private not-for-profit college.Lane College and its foundation are deemed to be financially interrelated.All funds collected by the foundation must be used to support activities of Lane College.The foundation board can select which activities of Lane College it supports.Lane Foundation received a $1 million bequest from the estate of a 1940 graduate.
Correct Answer:
Verified
Correct Answer:
Verified
Q4: Private colleges that receive federal grants are
Q5: The single largest source of revenues for
Q10: In what ways can declines in the
Q12: When a semester starts and ends in
Q17: Tuition revenue should be reported net of
Q17: At the time the foundation receives the
Q18: For a not-for-profit college or university, which
Q19: Long-lived assets held by public universities are
Q23: Most colleges and universities classify revenues by
Q24: Financial statements for Smith College, a church-supported