Mr. Robert Bedford, also owned Bedford College, a private not-for-profit college located in the downtown of Mansfield Town. As it has just started, the college only have four students Anna, Benedict, Chloe and Derek.

Bedford College billed the four of them for tuition fees in the amount of $36,000 for the first semester. It was estimated that 25% of the tuition fees will be uncollectible. The college recorded collection from the four students as shown below:

Anna paid the full amount billed.	$36,000
Benedict received a scholarship through the awarded by the college due to his excellent performance. The scholarship waives most tuition and fees and does not require the student to work.	$6,000
Chloe was on an assistantship and received a tuition and fee waiver. He is required to work 10 hours a week on the research of industry project.	$10,000
Derek paid the cheque. But, the college found the cheque was bounced. He left the college and could not be traced.	$0
Total	$52,000

Since now Harry had met Mr. Bedford, he asked for Harrys favor for the followings:

1. To show him the journal entries to record the billing and subsequent collection or write-off for the transactions for the four students.
2. Explain to him about Pell Grants and if there is any different implication for public and private institutions in the treatment of Pell Grants.
3. In the near future, Mr. Bedford plan to open a not-for-profit entity in terms of hospitals or other health care organizations but he is not sure on the revenue recognition method. He needs Harry to explain about this to him.