The Fara Littlebear Society is an NFPO funded by government grants and private donations. It was established in Year 5 by the friends of Fara Littlebear to encourage and promote the work of Native Canadian artists. Fara achieved international recognition for her art depicting images of journey and exploration.

The society leased a small building in January Year 5. The building contains a small art gallery on the first floor and office space on the second floor. The society spent $86,775 for leasehold improvements. The art gallery opened for public viewing on April 1, Year 5.

The unadjusted trial balance for the year ended December 31, Year 5, was as follows:

Debit Credit Cash $ 5,000 Investment in bonds (Note 1) 80,000 Artwork (Note 2) 300,000 Leasehold improvements (Note 3) 83,850 Government grant-operating costs (Note 6) $ 90,000 Government grant-restricted for purchase of artwork 150,000 Corporate donations-restricted for purchase of artwork 150,000 Corporate donations-restricted for leasehold improvements 78,000 Individual donations restricted for scholarships (Note 1) 80,000 Interest income 4,000 Revenue from admission fees to art gallery 67,000 Rent expense (Note 3) 26,000 Salaries expense (Note 4) 66,000 Other expenses 53,150 Scholarship awarded 5,000 $ 619,000 $619,000