EXHIBITS Statement of Financial Position Item The statement of financial position of NFP entity XYZ for...

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EXHIBITS Statement of Financial Position Item The statement of financial position of NFP entity XYZ for the year ended December 31, 20X2, requires certain adjustments. The following items relate to possible corrections underlined in the Statement of Financial Position exhibit above. For each item, select the adjustment required to the statement of financial position from the option list provided. If no adjustment is needed for a line item, select "No adjustment required." 1. The balance of cash and cash equivalents includes $32,000 of cash donor-restricted to long-term use. The appropriate adjustment is 2. Trade receivables should be reported 3. If conditions have not been substantially met, conditional promises to give are 4. Receipts of contributions before conditions are met are 5. Contributed debt securities are measured at 6. Contributed items meeting the criteria for a collection that is not capitalized are accounted for 7. Assets received by an NFP in agency transactions are 8. If a donation on behalf of a beneficiary includes an explicit grant of variance power, the NFP recognizes 9. The minimum required classes of net assets are L SE Adjustment close all exhibits 111 E E EE ALL E E 113 Select an option below O classification of donor-restricted cash separately from assets currently available. O disclosure of limitations on cash only in the notes. O reporting only cash currently available. O No adjustment required. RESET CANCEL ACCEPT Statement of Financial Position (1) (2) (3) (4) (5) (6) (7) (8) (9) Assets: Cash and cash equivalents Trade receivables, net of allowance for uncollectible accounts Inventory and prepayments Contributions receivable Not-for-Profit Entity XYZ Statement of Financial Position December 31, 20X2 (in thousands) Unconditional promises to give Conditional promises to give Conditional contributions Investments Debt and equity securities (at fair value) Contributed debt securities (at cost excluding transaction costs). Assets restricted to purchases of land, buildings, and equipment Land (net of accumulated depletion). Buildings and equipment (net of accumulated depreciation) Collections (uncapitalized) Total assets Liabilities and net assets: Accounts payable Liability - agency transactions Donations for beneficiaries (variance power granted) Annuity obligations Long-term debt Total liabilities (10) Net assets: Unrestricted Temporarily restricted Permanently restricted (board designated endowment). Total liabilities and net assets $ 2,055 570 400 $162,300 55,700 $ 475 2,130 610 3,025 218,000 5,210 5,800 43,470 13,500 $292,220 $ 2,570 875 215 1,470 5,500 $ 10,630 $115,228 24,342 142,020 $281,590 $292,220 EXHIBITS Statement of Financial Position Item The statement of financial position of NFP entity XYZ for the year ended December 31, 20X2, requires certain adjustments. The following items relate to possible corrections underlined in the Statement of Financial Position exhibit above. For each item, select the adjustment required to the statement of financial position from the option list provided. If no adjustment is needed for a line item, select "No adjustment required." 1. The balance of cash and cash equivalents includes $32,000 of cash donor-restricted to long-term use. The appropriate adjustment is 2. Trade receivables should be reported 3. If conditions have not been substantially met, conditional promises to give are 4. Receipts of contributions before conditions are met are 5. Contributed debt securities are measured at 6. Contributed items meeting the criteria for a collection that is not capitalized are accounted for 7. Assets received by an NFP in agency transactions are 8. If a donation on behalf of a beneficiary includes an explicit grant of variance power, the NFP recognizes 9. The minimum required classes of net assets are L SE Adjustment close all exhibits 111 E E EE ALL E E 113 Select an option below O classification of donor-restricted cash separately from assets currently available. O disclosure of limitations on cash only in the notes. O reporting only cash currently available. O No adjustment required. RESET CANCEL ACCEPT Statement of Financial Position (1) (2) (3) (4) (5) (6) (7) (8) (9) Assets: Cash and cash equivalents Trade receivables, net of allowance for uncollectible accounts Inventory and prepayments Contributions receivable Not-for-Profit Entity XYZ Statement of Financial Position December 31, 20X2 (in thousands) Unconditional promises to give Conditional promises to give Conditional contributions Investments Debt and equity securities (at fair value) Contributed debt securities (at cost excluding transaction costs). Assets restricted to purchases of land, buildings, and equipment Land (net of accumulated depletion). Buildings and equipment (net of accumulated depreciation) Collections (uncapitalized) Total assets Liabilities and net assets: Accounts payable Liability - agency transactions Donations for beneficiaries (variance power granted) Annuity obligations Long-term debt Total liabilities (10) Net assets: Unrestricted Temporarily restricted Permanently restricted (board designated endowment). Total liabilities and net assets $ 2,055 570 400 $162,300 55,700 $ 475 2,130 610 3,025 218,000 5,210 5,800 43,470 13,500 $292,220 $ 2,570 875 215 1,470 5,500 $ 10,630 $115,228 24,342 142,020 $281,590 $292,220

Answer rating: 100% (QA)

Cash and Cash Equivalents Original Statement 475000 includes 32000 donorrestricted to longterm use Adjustment Classify donorrestricted cash separately ... View the full answer