The following are the 20X2 transactions of the Midwest Heart Association, which has the following funds and fund balances on January 1, 20X2:

Net assets without donor restrictions	$	282,000
Net assets with donor restrictions		304,000

1. Had Unrestricted pledges totaling $752,000, of which $180,000 is for 20X3 and uncollectible pledges estimated at 8 percent.
2. Had restricted use grants totaling $220,000.
3. Collected a total of $540,000 of current pledges and wrote off $32,000 of remaining uncollected current pledges.
4. Purchased office equipment for $14,000.
5. Used unrestricted funds to pay the $3,900 mortgage payment due on the buildings.
6. Received interest and dividends of $28,400 on unrestricted investments and $5,500 on temporarily restricted investments. An endowment investment with a recorded value of $5,700 was sold for $7,000, resulting in a realized transaction gain of $1,300. A donor-imposed restriction specified that gains on sales of endowment investments must be maintained in the permanently restricted endowment fund.
7. Recorded and allocated depreciation as follows:

Community services	$	12,700
Public health education		7,800
Research		10,800
Fund-raising		15,700
General and administrative		9,100

1. Had other operating costs of the current fund Net assets with donor restrictions:

Community services	$	250,300
Public health education		107,500
Research		85,000
Fund-raising		46,000
General and administrative		70,000

1. Received clerical services totaling $2,000 donated during the fund drive. These are not part of the expenses reported in item 8. It has been determined that these donated services should be recorded.

Required: a. Prepare journal entries for the transactions in 20X2. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

b. Prepare a statement of activities for 20X2.