Question 23 (1 point) Listen A capital asset (equipment) with a fair value of $1,500,000 and land with a fair value of $2,000,000 is donated to a not-for-profit organization on January 1, 2020. The equipment has a ten year useful life. The organization will use the equipment in its operations. The NFPO has a December 31 year end. What are the initial journal entries on January 1, 2020 that need to be made if the organization uses the deferral method for contributions? Debit Equipment and Credit Net assets - capital for $1,500,000; and Debit Land and Credit Net assets - donated land for $2,000,000 In the Capital Fund, Debit Equipment and Credit Contribution revenue-donated equipment for $1,500,000; and in the Capital Fund, Debit Land and Credit Contribution revenue - donated land for $2,000,000. Debit Equipment and Credit Deferred Contributions - capital for $1,500,000 and Debit Land and Credit Net assets - donated land for $2,000,000 Debit Equipment and Credit Deferred Contributions - capital for $1,500,000; and Debit Land and Credit Deferred Contributions- capital for $2,000,000