Answered step by step
Verified Expert Solution
Question
...
1 Approved Answer
The following is the preclosing trial balance for Allen University as of June 30, 2020. Additional information related to net assets and the statement of
The following is the preclosing trial balance for Allen University as of June 30, 2020. Additional information related to net assets and the statement of cash flows is also provided.
ALLEN UNIVERSITY | ||||||
Preclosing Trial Balance | ||||||
June 30, 2020 | ||||||
Debits | Credits | |||||
Cash and Cash Equivalents | $ | 519,100 | ||||
Investments | 3,217,000 | |||||
Tuition and Fees Receivable | 374,100 | |||||
Allowance for Doubtful Accounts | $ | 75,940 | ||||
Pledges Receivable | 224,020 | |||||
Allowance for Doubtful Pledges | 79,340 | |||||
Property, Plant, and Equipment | 2,205,630 | |||||
Accumulated Depreciation | 661,560 | |||||
Accounts Payable | 103,460 | |||||
Accrued Liabilities | 40,010 | |||||
Deposits Held in Custody for Others | 18,730 | |||||
Unearned Revenue | 66,250 | |||||
Bonds Payable | 845,000 | |||||
Net AssetsWithout Donor Restrictions | 3,220,260 | |||||
Net AssetsWith Donor Restrictions | 1,408,300 | |||||
Net Assets Released from RestrictionsWith Donor Restrictions | 455,000 | |||||
Net Assets Released from RestrictionsWithout Donor Restrictions | 455,000 | |||||
Tuition and Fees | 1,292,990 | |||||
Tuition and Fees Discount and Allowances | 327,600 | |||||
ContributionsWithout Donor Restrictions | 312,690 | |||||
ContributionsWith Donor Restrictions | 331,940 | |||||
Grants and ContractsWith Donor Restrictions | 326,510 | |||||
Investment IncomeWithout Donor Restrictions | 52,880 | |||||
Investment IncomeWith Donor Restrictions | 31,000 | |||||
Other Revenue | 13,600 | |||||
Auxiliary Enterprise Sales and Services | 157,700 | |||||
Gain on Sale of Investments | 71,700 | |||||
Unrealized Gain on Investments | 419,140 | |||||
Instruction Expense | 1,075,430 | |||||
Research Expense | 616,700 | |||||
Academic Support Expense | 275,560 | |||||
Student Services Expense | 232,700 | |||||
Institutional Support Expense | 256,760 | |||||
Auxiliary Enterprise Expenses | 204,400 | |||||
Total | $ | 9,984,000 | $ | 9,984,000 | ||
Additional Information
Net assets released from donor restrictions totaled $455,000. The gain resulting from sale of investments was unrestricted. Twenty percent of the unrealized gain is related to net assets restricted for programs, with the remainder related to net assets without donor restrictions.
Additional information is as follows:
- The balance in cash and cash equivalents as of July 1, 2019, was $796,620.
- Tuition and Fees Receivable increased by $12,670.
- Pledges Receivable decreased by $1,940.
- Allowance for Doubtful Accounts was increased by $940 (the bad debt was netted against Tuition and Fees).
- Accounts Payable decreased by $3,580.
- Accrued Liabilities decreased by $1,410.
- Unearned Revenue increased by $7,820.
- Depreciation Expense was $37,880.
- Cash of $138,000 was used to retire bonds.
- Investments were sold for $2,070,000 (at a gain of $71,700) and others were purchased for $1,725,000.
- Net assets without donor restrictions were used to purchase equipment at a cost of $45,600.
Required
- Make a statement of activities for the year ended June 30, 2020.(Amounts to be deducted should be indicated with a minus sign.)
|
Step by Step Solution
There are 3 Steps involved in it
Step: 1
![blur-text-image](https://dsd5zvtm8ll6.cloudfront.net/includes/images/document_product_info/blur-text-image.webp)
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
![blur-text-image](https://dsd5zvtm8ll6.cloudfront.net/includes/images/document_product_info/blur-subtext-image.webp)
Step: 3
![blur-text-image](https://dsd5zvtm8ll6.cloudfront.net/includes/images/document_product_info/blur-subtext-image.webp)
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started