Indicate how each transaction should be reported by Brown University on (1) the statement of activities and (2) the statement of cash flows prepared for the year ended December 31, 2017. Brown reports separate columns for changes in unrestricted, temporarily restricted, and permanently restricted net assets on its statement of activities. In addition, Brown uses the direct method of reporting its cash flows from operating activities. Brown has a policy of not restricting net assets related to plant. A List A or List B effect may be used once, more than once, or not at all.

Transactions

1. A donor contributed $100,000 and stipulated that it be invested permanently.
2. Donors contributed $500,000 for the acquisition of equipment.
3. Depreciation expense of $750,000 was recorded for 2017.
4. $3,000,000 was received, representing tuition for the spring, summer, and fall semesters.
5. Investments of $100,000 were acquired with the cash received from the donor in transaction 46.
6. Interest and dividends of $8,000 were received from the investments acquired in transaction 50. The donor stipulated that the earnings be used for student scholarships in 2018.
7. $75,000 was received from donors who had pledged that amount in 2016. The cash will be used to pay for a marketing campaign that aimed at increasing enrollment. The marketing cost was incurred in 2017 and will be paid in 2018. 53. $900,000 was paid to faculty for salaries incurred during the year.
8. $25,000 was given to faculty for summer research grants. The grants came from donations made by alumni in 2016. They stipulated that the donation be used for research.
9. $40,000 of donations were received from alumni who did not stipulate how their donations were to be used.

Statement of activities List A effects

A. Increases without donor restriction net assets

B. Increases with donor restriction restricted net assets

C. Decreases without donor restriction net assets

D. Decreases with donor restriction net assets

E. Transaction not reported on the statement of activities

Statement of cash flows List B effects

H. Increases cash flows from operating activities

I. Decreases cash flows from operating activities

J. Increases cash flows from Investing activities

K. Decreases cash flows from Investing activities

L. Increases cash flows from Financing activities

M. Decreases cash flows from Financing activities

N. Transaction not reported on the statement of cash flows

O. Transaction reported in the schedule reconciling change in net assets to net cash provided from operating activities