50.1K

Verified Solution

Link Copied!

Case Study Case Study Background Information Dublin College is a private nonprofit organization located in the mountains of Virginia. The contributions approximately 1,000 addition to tuition, college depends on to help fund general operations and several specific activities. The college has adopted the following accounting polices Report contributions with donor-imposed restrictions that are met in the same period that the contribution is received as unrestricted support. Imply a time restriction on the use of contributed long-lived assets or of cash restricted to the purchase of long-lived assets that expires over the assets' expected useful lives Annual tuition and fees for the college are $32,000 a year. Part of fees must be used for a future student center. This year the that purpose. S500,000 of the fees was set aside for The college has just finished a fundraising campaign to build a new science building. The college was able to raise $2,500,000 in contributions restricted for the building. In addition the college in bonds for the building. As part of the bond issue, the college created a debt reserve fund 000. The new science building was completed this year at a cost of $3,000,000. It will be put into service at the beginning next year. Every year the college has an annual fund campaign to support the general operations of th college. At year end, the college had $75,000 of outstanding pledges that will be collected in the next fiscal year. The college expects to collect the full amount educational a S500,000 t from the estate of a former art teacher to be used for the teacher purposes. The Board of Trustees of college voted to create a named endowment for and use the income to support the art program The senior class raised s10,000 as a senior gift to be used for library books. The college purchased $50,000 of library books during the year

Answer & Explanation Solved by verified expert

See Answer