In Year 6, a donor gives $112,000 to a private not-for-profit entity to enable it to buy a new bus for transportation purposes. Near the end of Year 7, this money is used for the stipulated purpose. The donor made no provisions about the accounting for this acquisition. Which of the following is true about the statement of activities for Year 7?

a. Net assets without donor restrictions increased by $112,000.

b. Net assets with donor restrictions did not change.

c. Net assets without donor restrictions did not change.

d. Net assets with donor restrictions goes up by $112,000 and also down by $112,000.