Restricted net assets In Year 2, the East Association, a nongovernmental not-for-profit organization, received a $100,000 contribution to fund scholarships for medical students. The donor stipulated that only the interest earned on the contribution be used for the scholarships. Interest earned in Year 2 of $15,000 was used to award scholarships in Year 3. What amount should East Association report as net assets with donor restrictions at the end of Year 2?

$115,000

$100,000

$15,000

$0