Question
1. A private not-for-profit university charges its students tuition of $1.55 million. However, financial aid grants total $330,000. In addition, the school receives a $111,000
1. A private not-for-profit university charges its students tuition of $1.55 million. However, financial aid grants total $330,000. In addition, the school receives a $111,000 grant restricted for faculty salaries. Of this amount, it spent $41,000 appropriately this year. On the statement of activities, the school reports three categories: (1) revenues and support, (2) net assets reclassified, and (3) expenses. Which of the following is not true?
|
Unrestricted net assets shows the $330,000 as a direct reduction to the tuition revenue balance. |
In the unrestricted net assets, the revenues and support should total $1.55 million. Unrestricted net assets should recognize expenses of $41,000. |
$307,000. $107,000. $0. |
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started