Question: If a donor endows a professorial chair at a school, he or she gives a gift and indicates that the earnings from the gift must

If a donor endows a professorial chair at a school, he or she gives a gift and indicates that the earnings from the gift must be used by a specific professor. Would the initial gift be recorded in a fund with donor restrictions or a fund without donor restrictions? Would the earnings be recorded in a fund with donor restrictions or a fund without donor restrictions?

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1 Usually endowments are considered to fall in the category of restricted funds Here the donor endows the professional chair as a gift and mentions that the earnings from the gift be used by a specifi... View full answer

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