13.

value:

3.00 points

The Statement of Net Position of South State University, a governmentally owned university, as of the end of its fiscal year June 30, 2016, follows.

SOUTH STATE UNIVERSITYStatement of Net PositionJune 30, 2016AssetsCash$372,000Accounts receivable (net of doubtful accounts of $16,000)394,000Investments266,000Capital assets$1,862,000Accumulated depreciation292,0001,570,000Total assets2,602,000LiabilitiesAccounts payable112,000Accrued liabilities45,000Unearned revenue31,000Bonds payable744,000Total liabilities932,000Net PositionNet investment in capital assets826,000Restricted204,000Unrestricted640,000Total net position$1,670,000

The following information pertains to the year ended June 30, 2017:1.South billed tuition and fees totaling $1,503,000 and provided $250,000 in scholarship waivers.2.Unearned revenue at June 30, 2016, was earned during the year ended June 30, 2017.3.Notification was received from the federal government that up to $51,000 in funds could be received in the current year for costs incurred in developing student performance measures.

4.During the year, the University received an unrestricted appropriation of $3,060,000 from the state.5.Equipment for the student computer labs was purchased for cash in the amount of $540,000.6.During the year, $825,000 in cash contributions was received from alumni.Of the amount contributed $100,000 is to be used for construction of a new library.

7.Interest expense on the bonds payable in the amount of $51,000 was paid.8.Student tuition refunds of $120,000 were made. Cash collections of tuition and fees totaled $1,550,000, $141,000 of which applied to the semester beginning in August 2017. Investment income of $10,000 was earned and collected during the year.

9.General expenses of $3,602,000 related to the administration and operation of academic programs, and research expenses of $30,000 related to the development of student performance measures were recorded in the voucher system. At June 30, 2017, the accounts payable balance was $62,000.

10.Accrued liabilities at June 30, 2016, were paid.11.At year-end, adjusting entries were made. Depreciation on capital assets totaled $74,000. The Allowance for Doubtful Accounts was adjusted to $18,000. Accrued interest on investments was $1,000. The fair value of investments at year-end was $277,000. Of the income earned on investments, $5,100 was restricted.

12.Nominal accounts were closed and net position amounts were reclassified as necessary.

a-1.Prepare journal entries to record the foregoing transactions for the year ended June 30, 2017.(If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.)

a-2.Prepare closing entries for the year ended June 30, 2017.(If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.)

b.Prepare a statement of net position for the year ended June 30, 2017.(Negative amounts should be indicated by a minus sign.)

References

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