A nonprofit was recently established. During its first year of operations, it engaged in the following transactions and was affected by the following events (in summary form):

1. It received a $10,000,000 million endowment contribution, all in stocks and bonds. The donor noted that while the $10,000,000 million should not be spent, any appreciation or earnings generated could be used in any way the organization wished.
2. It received $3,000,000 million in additional contributions, all restricted for its educational programs and $2,300,000 million in unrestricted contributions.
3. It purchased $800,000 in furniture, fixtures, and equipment, all of which have an expected useful life of 10 years.
4. It recognized depreciation of $80,000 on the furniture, fixtures, and equipment.
5. It spent $2,400,000 million on educational programs.
   • Hint: There are two entries, one to release the restriction, and one to record the transaction.
6. It earned $300,000 in interest and dividends on its endowment investments.
7. By year-end, the value of its investments had appreciated by $600,000.
8. It incurred $1,300,000 million in administrative expenses.
9. Near year-end, it received an unconditional pledge of $4,500,000 million to be fulfilled in three annual installments of $1,500,000 million beginning in one year. The Museum determined that a discount rate of 6 percent was appropriate. The present value of the pledge is $4,009,518.

• Prepare journal entries to record these events and transactions.
• Prepare a year-end statement of activities.
• Prepare a year-end statement of financial position.