Question
1) A not for profit organization receives $150 from a donor.The donor receives two tickets to a theater show and an acknowledgement in the theater
1) A not for profit organization receives $150 from a donor.The donor receives two tickets to a theater show and an acknowledgement in the theater program.The tickets have a FMV of $100.What amount is recorded as contribution revenue?
a)150
b)50
c)100
d)200
2) Health care organizations and colleges use modified accrual basis of accounting. (true or false).
3) A balance in the Reserved for Encumbrances in excess of a balance of Encumbrances indicates:
a)An excess of vouchers payable over encumbrances
b) An excess of purchase orders over invoices received
c) An excess of appropriations over encumbrances
d) A recording error
4) Which of the following financial statements should be prepared for proprietary funds?
a) Statement of revenues, expenditures, and changes in fund balance
b) Statement of activities
c) Statement of changes in proprietary net position
d) Statement of cash flows
5) The general fund of XYZ City acquired 2 police cars at the beginning of 20x3, the cars at a cost of 40,000.The cars are expected to last 4 years and have a residual value of 10,000.SL Depreciation is used. On the balance sheet of govt funds, the police cars will be reported as assets for:
a)40,000
b)32,500,
c)0
d)22,500
6) On government wide statements, the cars will be reported as assets at 12/31/20x3 for:
a)40,000
b)32,500
c)0
d)22,500
7) Donations for unskilled services to not for profit organizations are excluded from the financial statements, but donations of services that are professional for essential services are recorded as revenue. (True or False)
8) The Jones family lost its home in a fire.On December 25, 20x3, a philanthropist sent money to the UMGC Benevolent Society, a not for profit organization, to purchase furniture for the Jones Family.During 20x4, the Benevolent Society purchased furniture as the donor requested.How should the receipt of the funds from the philanthropist be reported by the Benevolent Society in 20x3?
a)As an unrestricted contribution
b)As a temporarily restricted Contribution
c)As a permanently restricted contribution
d)As a liability
9) There are 5 types of cash transfers that take place between different funds: (true or false)
Operation,Quasi external,Quasi internal,Reimbursements,Loans
10) For non-profits most revenue are unrestricted gifts of cash and are reported as revenues.However, gifts that are restricted are reported as temporarily as restricted and the interest income earned on the gift is treated as restricted also. (True or False)
Step by Step Solution
There are 3 Steps involved in it
Step: 1
![blur-text-image](https://dsd5zvtm8ll6.cloudfront.net/includes/images/document_product_info/blur-text-image.webp)
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
![blur-text-image](https://dsd5zvtm8ll6.cloudfront.net/includes/images/document_product_info/blur-subtext-image.webp)
Step: 3
![blur-text-image](https://dsd5zvtm8ll6.cloudfront.net/includes/images/document_product_info/blur-subtext-image.webp)
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started