Flag Prepare the statement of cash flows

· Increase in net assets $1,000,000

· Increase in cash 855,000

· Increase in Investment Income Receivable 8,000

· Increase in student receivables 32,000

· Decrease in supplies inventory 5,000

· Increase in accounts payable by 100,000

· Decrease in deferred tuition revenue 20,000

Included in the change in net assets were the following items:

· Cash gifts for scholarships $100,000

· Cash gifts for equipment acquisition 10,000

· Cash gifts for permanent endowment 500,000

· Gift of land 300,000

· Reclassifications of temporarily restricted amounts 80,000

· Donated services of retired professor teaching 2 online classes per term valued at 25,000 The controller provided analyses of the following accounts: Property, Plant, and Equipment 1/1/21 $5,000,000

Disposals of equipment (110,000) (Sold for $93,000)

Gift of land 300,000 Construction costs paid to XYZ

Construction for a new building (used proceeds of a $400,000 unsecured L.T. Note and other cash on hand) 500,000

Depreciation expense (175,000)

Property, Plant, and Equipment 12/31/21 $5,515,000 Investments 1/1/21

$1,000,000

Purchases 125,000

Sale of investments (sold for $110,000) (150,000)

Unrealized gain to adjust to FMV 100,000 Investments 12/31/21 $1,075,000

Answer rating: 100% (QA)

Operating Activities Net Change in net assets 13200000 Increase in Investment In... View the full answer