Suppose that the university elected to report as a special-purpose government engaged in governmental and business-type activities. How would the financial statements differ from those presented? What are the pros and cons associated with reporting under each approach? Explain.

What journal entry was made to record tuition and fees net of scholarship allowance? If any uncertainties exist in your answer, state what they are and why the uncertainty exists. (Hint: Examine the relevant Receivables accounts in the Balance Sheet and the Notes).