5. Which of the pairings below related to measurement focus and basis of accounting is correct for the financial statements of nonprofit entities? Measurement focus A. ABCD Economic resources B. Financial resources C. Economic resources D. Financial resources Basis of accounting Accrual Accrual Modified accrual Modified accrual 6. Which of the following service contributions would enhance a nonfinancial asset? A. A roofing company made repairs to the shingle roof of a nonprofit's administration building and did not charge for their labor cost. B. A heating and air conditioning company did major repair work on a nonprofit's heating and air conditioning system and did not charge the nonprofit for their labor cost. The repairs are expected to increase the remaining useful life of the C. nonprofit's heating and air conditioning system. A and B. D. Neither A nor B. 7. For nonprofit entities, reclassifications from net assets with donor restrictions to net assets without donor restrictions are reported on the statement of activities when A. Time restrictions expire. B. Purpose restrictions are satisfied. C. A and B. D. Neither A nor B. 8. The Art Institute of Chicago received a contribution of art from a wealthy citizen of Chicago in 2021. The museum has a policy of not reporting works of art on its financial statements. This accounting policy is acceptable if the works of art are added to the museum's collections, and A. They are held for public exhibition. B. They are cared for and preserved. C. If sold, the proceeds are restricted for the purchase of art. D. A and B. E. A, B, and C