Question 8 of 10 -15 The following transactions of Beltville College transpired during 2025. The funds necessary are the Endowment Fund, the Annuity Fund, the Plant FundUnexpended. the Plant FundInvestment in Plant. the Loan Fund, the Unrestricted Current Fund, and the Restricted Current Fund. January 1 1 A gift of $10,200 was received from Carl Brown. The principal was to be held intact and the income to be used for any purpose designated by the governing board 2 David Gross donated 20,400. The principal was to be held Intact and the income to be used for scholarships for worthy students. 3 Roxanne Norton donated $30,600. of which the principal was to remain intact while the interest was to be used for student loans. Al income Is to be relent; 2l losses from loans are to be charged against income 4 A gift of 207,000 was received from Brian Carr. Semiannual payments of $10,000 are to be made to the donor during his lifetime. On his death the fund is to be used to purchase or construct a students' residence. Mr. Carr has a life expectancy of five years and investments are expected to eam B% annually. 5. Kathy Jackson donated 1,000 shares of BIM stock, which had a market value of $150 per share on that date. Allincome received from the shares is to be held intact and the shares cannot be held for more than five years. Once the board sells the shares, all the proceeds are to be used to build a student hospital. 6. The assets of the Brown and Gross funds were consolidated into a pooled investment account by the governing board (in proportion to the principal accounts). Electric Power Bonds worth $30.600 were purchased. The 12% interest was payable on January 1 and July 1. 7. The Morton Fund cash is used to purchase Cravit Company 10% bonds at par for $30.600. January 1 and July 1 are the Interest dates. 8. with the cash from the Carr Fund, $200.000 of 8% U.S. Treasury notes was purchased at par. The interest dates are January 1and July 1. July 1 g. The Interest was received on all bonds and notes and was transferred to the proper funds. Dividends of $5,000 were recefved from BIM stock. 10, The stipulated payment is made to Mr. Carr from the Endowment Fund. 11, Electric Power Company bonds bought at par value for $20.400 are sold at 102, The gain s added to the principal. 12 A$306 student loan was made from the Norton Fund. October 1 13. Anotice of Brian Carr's death is received. There is no liability to his estate. 14. The Gross Scholarship Fund awards a $204 scholarship. 15, $200.000 par of U.S. Treasury notes are sold for $206,000. December 31 16. Interest on bonds Is recelved. 17. $1400f principal and $7 of interest were repaid on the student loan. A building was purchased for $250.000 using the funds available from the Carr gift. The residence hall will have 2 20-vear mortzage pavable to account for the balance. 18. Event Fund Account Titles and Explanation Debit Credit 1. Annuity Fund Endowment Fund - Brown Endowment Fund - Gross 2. Endowment Fund - Jackson Endowment Fund - Norton Investment in Plant Loan Fund Restricted Current Fund 3. Restricted Current Fund - Gross Unexpended Plant Fund Unrestricted Current Fund 5. 6.7, 8. Annuity Payable Building Cash Due from Annuity Fund Due from Endowment Fund - Brown Due from Endowment Fund - Gross Due from Endowment Fund - Norton Due to Loan Fund Due to Restricted Current Fund Due to Unexpended Plant Fund Due to Unrestricted Current Fund Endowment Income Expenses - Scholarship Fund Balance Fund Balance - Restricted Interest Income Investment Income Investments Loan Receivable\f(To record sale of notes) | v | v (To transfer investment income to fund) (To record interest received) | v (To record transfer of funds) (To record income) 17, 18. (To record receipt of resources to be used) (To record acquisition of building) (To transfer assets and related liabilities to Investment in Plant Fund)