Mary Rowe donated $2,000,000 to a nongovernment HelpU on June 17, 2017.

Required Steps

1. Assume that no restrictions are placed on the use of the donated resources.
   1. Prepare the required June 17, 2017, entry.
   2. Prepare any entries necessary in 2018 if $500,000 of the gift is used to finance HelpU operating expenses.
2. Assume that the donation was restricted to research.
   1. Prepare the required June 17, 2017, entry.
   2. Prepare any entries required in 2018 as a result of spending $500,000 for research during 2018.
3. Assume that the donation was restricted for fixed asset acquisitions.
   1. Prepare the required June 17, 2017, entry.
   2. Prepare any entries required in 2018 if $500,000 of the gift is used to purchase a new building. The building is placed in service at year end.
4. Explain or illustrate how each of the three preceding situations would be reported in the nongovernment HelpU's financial statements in 2017 and in 2018.