Question
Permanent Fund Transactions At the start of 2020, a resident of the City of LaVerada donated $2.5 million to the LaVerada School District. The donor
Permanent Fund Transactions
At the start of 2020, a resident of the City of LaVerada donated $2.5 million to the LaVerada School District. The donor specified that the entire $2.5 million be invested, and investment income used to provide tutoring services for high school students. Investments were made, and 2020 investment income was $100,000. Administrative costs related to investing activities were $2,000. The school district started a tutoring program, and spent $15,000 for supplies, $25,000 for facilities rent, and $35,000 for tutors. The investments are worth $2,580,000 at the end of 2020.
Required
Record the events described above in a permanent fund. Include closing entries.
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