Local Services, a voluntary health and welfare organization had the following classes of net assets on July 1, 20X8, the beginning of its fiscal year:

Unrestricted	$	500,000
Temporarily restricted		100,000
Permanently restricted		1,000,000

During the year ended June 30, 20X9, the following events occurred:

(1) It purchased equipment, costing $100,000, with contributions restricted for this purpose. The contributions had been received from donors during June of 20X8.

(2) It received $130,000 of cash donations which were restricted for research activities. During the year ended June 30, 20X9, $90,000 of the contributions were expended on research.

(3) It sold investments classified in the net assets with donor restrictions class for a loss of $40,000. Dividends and interest income earned on the investments amounted to $70,000. There were no restrictions on how investment income was to be used.

(4) It received cash contributions of $200,000 from donors who did not place either time or use restrictions upon their donations.

(5) Expenses, excluding depreciation expense, for program services and supporting services incurred during the year ended June 30, 20X9, amounted to $260,000.

(6) Depreciation expense for the year ended June 30, 20X9, was $80,000.

79) Refer to the above information. At June 30, 20X9, the amount of net assets with donor restrictions reported on the statement of financial position would be:

A) $1,070,000.

B) $1,030,000.

C) $1,000,000.

D) $960,000.

Answer: D

80) Refer to the above information. On the statement of activities for the year ended June 30, 20X9, net assets with donor restrictions:

A) increased $130,000.

B) increased $40,000.

C) decreased $100,000.

D) decreased $60,000.

Answer: D

81) Refer to the above information. On the statement of activities for the year ended June 30, 20X9, reclassifications would be reported at:

A) $190,000.

B) $100,000.

C) $90,000.

D) $230,000.

Answer: A

Please explain all the answers i wrote the answers on bottom of each question