Good Education, an NFPO, conducts two types of programs: education and research. It does not use fund accounting. During 2018, Pledges amounting to $100,000 were received, to be used for any purpose designated by the board of trustees. Good Education normally collects 80 percent of the amount pledged.

1. What is the Net Realizable Value (NRV) of the Pledge? Show your work.)

2. When the pledge was made, did it cause an increase or decrease in net assets with donor restrictions or net assets without donor restrictions classification?