Question
Statement of Activities Unrestricted Temporarily Restricted Unrestricted Temporarily Restricted Revenues Program service revenue $ 5,695,000 $ 2,260,000 Contribution revenues 3,337,500 $ 751,000 3,210,000 Grant revenue
Statement of Activities | Unrestricted | Temporarily Restricted | Unrestricted | Temporarily Restricted | ||||||||||||
Revenues | ||||||||||||||||
Program service revenue | $ | 5,695,000 | $ | 2,260,000 | ||||||||||||
Contribution revenues | 3,337,500 | $ | 751,000 | 3,210,000 | ||||||||||||
Grant revenue | 97,000 | $ | 1,026,000 | |||||||||||||
Net gains on endowment investments | 17,600 | |||||||||||||||
Net assets released from restriction | ||||||||||||||||
Satisfaction of program restrictions | 452,000 | (452,000 | ) | 407,000 | (407,000 | ) | ||||||||||
Total revenues | 9,502,100 | 396,000 | 5,877,000 | 619,000 | ||||||||||||
Expenses | ||||||||||||||||
Education program expenses | 5,721,000 | 1,560,000 | ||||||||||||||
Research program expense | 1,257,000 | 2,306,000 | ||||||||||||||
Total program service expenses | 6,978,000 | 3,866,000 | ||||||||||||||
Fund-raising | 466,000 | 361,000 | ||||||||||||||
Administration | 651,000 | 1,230,000 | ||||||||||||||
Total supporting service expenses | 1,117,000 | 1,591,000 | ||||||||||||||
Total expenses | 8,095,000 | 5,457,000 | ||||||||||||||
Increase in net assets | 1,407,100 | 396,000 | 420,000 | 619,000 | ||||||||||||
Net assets January 1 | 4,209,000 | 760,000 | 1,038,500 | 321,000 | ||||||||||||
Net assets December 31 | $ | 5,616,100 | $ | 1,156,000 | $ | 1,458,500 | $ | 940,000 |
ACCOUNTING
Calculate the following ratios (assume depreciation expense is $751,000 for both organizations and is allocated among program and supporting expenses.
Program expense.
Fund-raising efficiency.
Days cash on hand.
Working capital (expressed in days)
For each ratio, which of the two organizations has the stronger ratio. (Assume 365 days in a year. Do not round intermediate calculations. Round "Program expense" answers to 1 decimal place and "Fund-raising efficiency" answers to 3 decimal places and "Days cash on hand", "Working capital" answers to nearest whole number.)
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