A donor gives computer equipment to a public university. The donor paid $100,000 for the computer equipment,
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Question:
A donor gives computer equipment to a public university. The donor paid $100,000 for the computer equipment, and the equipment has a fair value of $90,000 at the time of the donation. How will the university record the donation?
Select one:
a. Debit equipment $90,000; credit in-kind contribution revenue $90,000
b. No journal entry would be recorded
c. Debit equipment $100,000; credit in-kind contribution revenue $100,000
d. Debit equipment $90,000; debit loss on equipment $10,000; credit in-kind contribution revenue $100,000
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