A CPA contributes services valued at $5,000 to prepare Form 990 for a private NFP organization. The net effect of this contribution in the organizations statement of activities is:

Select one:

a. Not reported in the statement of activities.

b. $5,000 increase in net assets without donor restrictions.

c. $5,000 increase in net assets with donor restrictions.

d. Increase in expenses and increase in contributions of $5,000; no net effect on net assets.