Required information (The following information applies to the questions displayed below.) The following is the preclosing trial balance for Allen University as of June 30, 2020. Additional information related to net assets and the statement of cash flows is also provided. ALLEN UNIVERSITY Preclosing Trial Balance June 30, 2020 Cash and Cash Equivalents Investments Tuition and Fees Receivable Allowance for Doubtful Accounts Pledges Receivable Allowance for Doubtful Pledges Property, plant, and Equipment Accumulated Depreciation Accounts Payable Accrued Liabilities Deposits Held in Custody for Others Unearned Revenue Bonds Payable Net Assets-Without Donor Restrictions Net Assets-With Donor Restrictions Net Assets Released from Restrictions-With Donor Restrictions Net Assets Released from Restrictions-Without Donor Restrictions Tuition and Fees Tuition and Fees Discount and Allowances Contributions-Without Donor Restrictions Contributions-With Donor Restrictions Grants and Contracts-With Donor Restrictions Investment Income-Without Donor Restrictions Investment Income-With Donor Restrictions Other Revenue Auxiliary Enterprise Sales and Services Gain on Sale of Investments Unrealized Gain on Investments Instruction Expense Research Expense Academic Support Expense Student Services Expense Institutional Support Expense Auxiliary Enterprise Expenses Total Debits Credits $ 520, 720 3,227,000 375, 100 $ 76,140 224,620 79,540 2,211,210 663,240 103,740 41,430 19,410 68,660 875,000 3,154,190 1,459,300 471,300 471,300 1, 294,540 328,000 314,520 364,820 328,070 54, 290 32,000 13,800 160,100 72,700 596,610 1,126,630 667,600 301,160 267,400 284,360 238,300 $10,243,400 $10,243,400 Additional Information Net assets released from donor restrictions totaled $471,300. The gain resulting from sale of investments was unrestricted. Thirty percent of the unrealized gain is related to net assets restricted for programs, with the remainder related to net assets without donor restrictions. Additional information is as follows: . . 0 . The balance in cash and cash equivalents as of July 1, 2019, was $940,900. Tuition and Fees Receivable increased by $14,120. Pledges Receivable decreased by $2,170. Allowance for Doubtful Accounts was increased by $1,030 (the bad debt was netted against Tuition and Fees). Accounts Payable decreased by $3,940. Accrued Liabilities decreased by $1,580. Unearned Revenue increased by $8,760. Depreciation Expense was $42,410. Cash of $168,000 was used to retire bonds. Investments were sold for $2,520,000 (at a gain of $72,700) and others were purchased for $2,100,000. Net assets without donor restrictions were used to purchase equipment at a cost of $55,600. . . . Required a. Prepare a statement of activities for the year ended June 30, 2020. (Amounts to be deducted should be indicated with a minus sign.) ALLEN UNIVERSITY Statement of Activities Year Ended June 30, 2020 Without Donor Restrictions With Donor Restrictions Total Revenues and Gains: $ 940,900 $ 940,900 Revenues Tuition and Fees Contributions 314,520 Grants and Contracts 328,070 314,520 328,070 86,290 Investment Income 32,000 Other Revenue 54,290 160,100 72,700 160,100 Auxiliary Enterprises Gain on Sale of Investments Unrealized Gain on Investments 72,700 0 13,800 13,800 Net Assets Released from Restrictions 471,300 (471,300) 0 0 2,027,610 (111,230) 1,916,380 1,126,630 1,126,630 Total Revenues and Gains Expenses and Losses: Educational and General Expenses: Instruction Expense Research Expense Academic Support Expense Institutional Support Expense Auxiliary Enterprises 667,600 667,600 0 0 0 0 1,794,230 0 1,794,230 0 0 1,794,230 Total Educational and General Expense Accumulated Depreciation Total Expenses and Losses Total Change in Net Assets Net Assets, Beginning of the Year Net Assets, End of the Year 1,794,230 233,380 (111,230) 122,150 0 $ 233,380 $ (111,230) $ 122,150 Required information [The following information applies to the questions displayed below.) The following is the preclosing trial balance for Allen University as of June 30, 2020. Additional information related to net assets and the statement of cash flows is also provided. ALLEN UNIVERSITY Preclosing Trial Balance June 30, 2020 Cash and Cash Equivalents Investments Tuition and Fees Receivable Allowance for Doubtful Accounts Pledges Receivable Allowance for Doubtful Pledges Property, plant, and Equipment Accumulated Depreciation Accounts Payable Accrued Liabilities Deposits Held in Custody for Others Unearned Revenue Bonds Payable Net Assets-Without Donor Restrictions Net Assets-With Donor Restrictions Net Assets Released from Restrictionswith Donor Restrictions Net Assets Released from Restrictions-Without Donor Restrictions Tuition and Fees Tuition and Fees Discount and Allowances Contributions-Without Donor Restrictions Contributions-With Donor Restrictions Grants and Contracts-With Donor Restrictions Investment Income-Without Donor Restrictions Investment Income-With Donor Restrictions Other Revenue Auxiliary Enterprise Sales and Services Gain on Sale of Investments Unrealized Gain on Investments Instruction Expense Research Expense Academic Support Expense Student Services Expense Institutional Support Expense Auxiliary Enterprise Expenses Total Debits Credits $ 520, 720 3, 227,000 375, 100 $ 76,140 224,620 79,540 2,211,210 663,240 103,740 41,430 19,410 68,660 875,000 3,154,190 1,459,300 471,300 471,300 1,294,540 328,000 314,520 364,820 328,070 54,290 32,000 13,800 160,100 72,700 596,610 1,126,630 667,600 301,160 267,400 284,360 238,300 $ 10,243, 400 $10,243,400 Additional Information Net assets released from donor restrictions totaled $471,300. The gain resulting from sale of investments was unrestricted. Thirty percent of the unrealized gain is related to net assets restricted for programs, with the remainder related to net assets without donor restrictions. Additional information is as follows: The balance in cash and cash equivalents as of July 1, 2019, was $940,900. Tuition and Fees Receivable increased by $14,120. Pledges Receivable decreased by $2,170. Allowance for Doubtful Accounts was increased by $1,030 (the bad debt was netted against Tuition and Fees). Accounts Payable decreased by $3,940. Accrued Liabilities decreased by $1,580. Unearned Revenue increased by $8,760. Depreciation Expense was $42,410. Cash of $168,000 was used to retire bonds. Investments were sold for $2,520,000 (at a gain of $72,700) and others were purchased for $2,100,000. Net assets without donor restrictions were used to purchase equipment at a cost of $55,600. b. Prepare a statement of financial position for June 30, 2020. ALLEN UNIVERSITY Statement of Financial Position June 30, 2020 Assets Total Assets $ 0 Liabilities and Net Assets Liabilities: Total Liabilities 0 Net Assets: Total Net Assets 0 Total Liabilities and Net Assets $ 0 Required information [The following information applies to the questions displayed below.] The following is the preclosing trial balance for Allen University as of June 30, 2020. Additional information related to net assets and the statement of cash flows is also provided. ALLEN UNIVERSITY Preclosing Trial Balance June 30, 2020 Cash and Cash Equivalents Investments Tuition and Fees Receivable Allowance for Doubtful Accounts Pledges Receivable Allowance for Doubtful pledges Property, plant, and Equipment Accumulated Depreciation Accounts Payable Accrued Liabilities Deposits Held in Custody for Others Unearned Revenue Bonds Payable Net Assets-Without Donor Restrictions Net Assets-With Donor Restrictions Net Assets Released from Restrictions-With Donor Restrictions Net Assets Released from Restrictions-Without Donor Restrictions Tuition and Fees Tuition and Fees Discount and Allowances Contributions-Without Donor Restrictions Contributions-With Donor Restrictions Grants and Contracts-With Donor Restrictions Investment Income-Without Donor Restrictions Investment Income-With Donor Restrictions Other Revenue Auxiliary Enterprise Sales and Services Gain on Sale of Investments Unrealized Gain on Investments Instruction Expense Research Expense Academic Support Expense Student Services Expense Institutional Support Expense Auxiliary Enterprise Expenses Total Debits Credits $ 520, 720 3,227,000 375, 100 $ 76,140 224,620 79,540 2,211,210 663,240 103,740 41,430 19,410 68,660 875,000 3,154,190 1,459,300 471,300 471,300 1,294,540 328,000 314,520 364,820 328,070 54,290 32,000 13,800 160,100 72,700 596,610 1,126,630 667,600 301,160 267,400 284,360 238,300 $10,243,400 $10,243,400 Additional Information Net assets released from donor restrictions totaled $471,300. The gain resulting from sale of investments was unrestricted. Thirty percent of the unrealized gain is related to net assets restricted for programs, with the remainder related to net assets without donor restrictions. Additional information is as follows: The balance in cash and cash equivalents as of July 1, 2019, was $940,900. Tuition and Fees Receivable increased by $14,120. Pledges Receivable decreased by $2,170. Allowance for Doubtful Accounts was increased by $1,030 (the bad debt was netted against Tuition and Fees). Accounts Payable decreased by $3,940. Accrued Liabilities decreased by $1,580. Unearned Revenue increased by $8,760. Depreciation Expense was $42,410. Cash of $168,000 was used to retire bonds. Investments were sold for $2,520,000 (at a gain of $72,700) and others were purchased for $2,100,000. Net assets without donor restrictions were used to purchase equipment at a cost of $55,600. . C. Prepare a statement of cash flows for the year ended June 30, 2020. (List of cash outflows should be indicated by a minus sign.) ALLEN UNIVERSITY Statement of Cash Flows For The Year Ended June 30, 2020 Cash Flows from Operating Activities: Increase in Net Assets Adjustments to Reconcile Increase in Net Assets to Net Cash Used by Operating Activities: 0 Net Cash Used by Operating Activities Cash Flows from Investing Activities: 0 Net Cash Provided by Investing Activities Cash Flows from Financing Activities: 0 0 Net Cash Used for Financing Activities Net Decrease in Cash and Cash Equivalents Cash and Cash Equivalents, Beginning of the Year Cash and Cash Equivalents, End of the Year 0