AGM is a not-for-profit organization that works to raise awareness on social issues in local communities. AGM prepares its financial statements on the accrual basis of accounting, and follows GAAP for not-for-profit organizations. It ended FY 2016 with the following account balances (in no particular order): of Credit 988,000 52,000 182,500 payable Accounts payable Accounts receivable, net E, net stricted net assets ry tributions receivable, net 4 The following financial events occurred during FY 2017, which ended December 31, 2017: 1. Eamed S175 000 in new donations that are available for any purpose, of which a % was collected in cash. Management believes that remaining balance is collectible. [Use "Contributions" as the line item in financial statements 2 Paid $11,500 each month for rent during FY 2017. In addition, AGM's landlord required that the organization pay an additional $12,000 for the first month's rent of FY 2018 before the end of FY 2017. AGM also paid $6,000 per month during the year for utilities. (Note: rent and utilities need to be recorded separately) 2016 Earned $45,000 from providing counseling services to clients. AGM collected 90% of this amount. The remaining balance at the end of the fiscal year 3. Salaries of $324,000 were earned by employees for work performed in FY 2017. AGM pays salaries with a 2-month lag. Employees earned $312,000 in FY 4 Paid the bank $42,000. Of this total, $7,000 was for interest and the remainder was for principal. has been determined to be uncollectible. [Use-counseling Revenue. as the line item in financial statements d. An engineer volunteered and performed mechanical repair work valued at $11,000 that AGM would have paid for if the donation was not made. 7. Used $34,000 of inventory during the year in the provision of services. and received $139,000 in cash for property that AGM no longer used. AGM also recorded $88,000 of depreciation on its remaining property, plant