36. Gray College, a private not-for-profit institution, received a contribution of $100,000 for faculty re- search. The donation was received in Year 5 and $80,000 was spent in Year 5. As a result of these transactions, Gray College should report on its Year 5 statement of activities a: a. $20,000 increase in temporarily restricted net assets. b. $100,000 increase in temporarily restricted net assets. c. $80,000 increase in temporarily restricted net assets. d. $100,000 increase in unrestricted net assets. 37. Clay University, a not-for-profit university, earned $300,000 from bookstore revenue and spent $100,000 for faculty research in Year 5. The $100,000 for faculty research came from a $150,000 research grant received in the previous year. What is the effect of these events on unrestricted net assets in Year 5? a. Increase $300,000. b. Increase $400,000. c. Increase $450,000. d. Increase $200,000