1. university reports unrestricted net assets each year. Suppose a student complained in a letter to the university president that the institution is holding back resources that should properly be used to increase faculty salaries; acquire computers and other equipment; and improve classroom facilities. What would your response be, as an accountant?

2.The university classifies some of its revenue as sales and services of auxiliary enterprises. What is most likely the distinction between auxiliary enterprises and the other activities or categories at the university?