Early in 2024, a donor contributes $1,000,000 in cash to an NFP organization, specifying that income from its investment be used for maintenance of playground equipment. The organization invests the $1,000,000 and $30,000 in cash investment income is earned during the year. In 2025, $25,000 is spent on repairs to playground equipment. By what amount does restricted net assets increase (decrease) in 2024 and 2025? 1. $1,030,000. 2. $1,030,000. 3. $1,000,000. 4. $1,000,000 4 3 O 1 2024 02 2025 $(25,000) $(30,000) $(25,000) $(30,000)

Early in 2024, a donor contributes $1,000,000 in cash to an NFP organization, specifying that income from its investment be used for maintenance of playground equipment. The organization invests the $1,000,000 and $30,000 in cash investment income is earned during the year. In 2025, $25,000 is spent on repairs to playground equipment. By what amount does restricted net assets increase (decrease) in 2024 and 2025? 2024 2025 1. $1,030,000. $(25,000) 2. $1,030,000. $(30,000) 3. $1,000,000. $(25,000) 4. $1,000,000 $(30,000) 04 03 01 02