Theresa Johnson does volunteer work for a local not-for-profit entity as a community service. She replaces without
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Theresa Johnson does volunteer work for a local not-for-profit entity as a community service. She replaces without charge an administrator who would have otherwise been paid $31,000. Which of the following statements is true?
a. The charity should recognize a restricted gain of $31,000.
b. The charity should recognize a contribution of $31,000 as an increase in unrestricted net assets as well as salary expense of $31,000.
c. The charity should recognize a reduction in expenses of $31,000.
d. The charity should make no entry.
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Related Book For
Advanced Accounting
ISBN: 978-1259444951
13th edition
Authors: Joe Ben Hoyle, Thomas Schaefer, Timothy Doupni
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