Question
Community Youth Services is a voluntary health and welfare organization funded by contributions from the general public and federal and state grants. During the current
Community Youth Services is a voluntary health and welfare organization funded by contributions from the general public and federal and state grants. During the current year, pledges of $1,800,000 were received which will be collected next year for support of next year's operations. It was estimated that 10% of these pledges will be uncollectible. Tanya Touchy-Feely, a social worker on Community Youth Services permanent staff, earned $30,000 annually for a normal workload of 2,000 hours. She also contributed an additional 800 hours of her own time to Community Youth Services at no charge. If Tonya had not contributed this extra time, Community Youth Services would have needed to hire a part-time social worker at an estimated cost of $12,000.
What amount should Community Youth Services report as an increase in unrestricted net assets and what amount as temporarily restricted net assets for next year with respect to these pledges? Show your computations in good form.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started