Statement of activities for the year ended December 31, 2020. (Amounts to be deducted should be indicated
Fantastic news! We've Found the answer you've been seeking!
Question:
- Statement of activities for the year ended December 31, 2020. (Amounts to be deducted should be indicated with a minus sign. Round the intermediate and final answers to the nearest dollar amount.)
Transcribed Image Text:
INVOLVE was incorporated as a not-for-profit voluntary health and welfare organization on January 1, 2020. During the fiscal year ended December 31, 2020, the following transactions occurred. 1. A business donated rent-free office space to the organization that would normally rent for $35,800 a year. 2. A fund drive raised $189,000 in cash and $108,000 in pledges that will be paid within one year. A state government grant of $158,000 was received for program operating costs related to public health education. 3. Salaries and fringe benefits paid during the year amounted to $209,360. At year-end, an additional $16,800 of salaries and fringe benefits were accrued. 4. A donor pledged $108,000 for construction of a new building, payable over five fiscal years, commencing in 2022. The discounted value of the pledge is expected to be $95.060. 5. Office equipment was purchased for $12,800. The useful life of the equipment is estimated to be five years. Office furniture with a fair value of $10.400 was donated by a local office supply company. The furniture has an estimated useful life of 10 years. Furniture and equipment are considered net assets without donor restrictions by INVOLVE. 6. Telephone expense for the year was $6,000, printing and postage expense was $12,800 for the year, utilities for the year were $9,100 and supplies expense was $5,100 for the year. At year-end, an immaterial amount of supplies remained on hand and the balance in accounts payable was $4,400. 7. Volunteers contributed $15,800 of time to help with answering the phones, mailing materials, and various other clerical activities. 8. It is estimated that 90 percent of the pledges made for the 2021 year will be collected. Depreciation expense is recorded for the full year on the assets recorded in item 5. 9. All expenses were allocated to program services and support services in the following percentages: public health education, 35 percent; community service, 30 percent; management and general, 20 percent; and fund-raising, 15 percent. 10. Net assets were released to reflect satisfaction of state grant requirements that the grant resources be used for public health education program purposes. 11. All nominal accounts were closed to the appropriate net asset accounts. INVOLVE was incorporated as a not-for-profit voluntary health and welfare organization on January 1, 2020. During the fiscal year ended December 31, 2020, the following transactions occurred. 1. A business donated rent-free office space to the organization that would normally rent for $35,800 a year. 2. A fund drive raised $189,000 in cash and $108,000 in pledges that will be paid within one year. A state government grant of $158,000 was received for program operating costs related to public health education. 3. Salaries and fringe benefits paid during the year amounted to $209,360. At year-end, an additional $16,800 of salaries and fringe benefits were accrued. 4. A donor pledged $108,000 for construction of a new building, payable over five fiscal years, commencing in 2022. The discounted value of the pledge is expected to be $95.060. 5. Office equipment was purchased for $12,800. The useful life of the equipment is estimated to be five years. Office furniture with a fair value of $10.400 was donated by a local office supply company. The furniture has an estimated useful life of 10 years. Furniture and equipment are considered net assets without donor restrictions by INVOLVE. 6. Telephone expense for the year was $6,000, printing and postage expense was $12,800 for the year, utilities for the year were $9,100 and supplies expense was $5,100 for the year. At year-end, an immaterial amount of supplies remained on hand and the balance in accounts payable was $4,400. 7. Volunteers contributed $15,800 of time to help with answering the phones, mailing materials, and various other clerical activities. 8. It is estimated that 90 percent of the pledges made for the 2021 year will be collected. Depreciation expense is recorded for the full year on the assets recorded in item 5. 9. All expenses were allocated to program services and support services in the following percentages: public health education, 35 percent; community service, 30 percent; management and general, 20 percent; and fund-raising, 15 percent. 10. Net assets were released to reflect satisfaction of state grant requirements that the grant resources be used for public health education program purposes. 11. All nominal accounts were closed to the appropriate net asset accounts.
Expert Answer:
Answer rating: 100% (QA)
Answer INVOLVE Statement of Activities For the Year Ended December 31 2020 Wi... View the full answer
Related Book For
Accounting for Governmental and Nonprofit Entities
ISBN: 978-1259917059
18th edition
Authors: Jacqueline L. Reck, James E. Rooks, Suzanne Lowensohn, Daniel Neely
Posted Date:
Students also viewed these accounting questions
-
INVOLVE was incorporated as a not-for-profit organization on January 1, 2023. During the fiscal year ended December 31, 2023, the following transactions occurred. A business donated rent-free office...
-
INVOLVE was incorporated as a not-for-profit voluntary health and welfare organization on January 1, 2017. During the fiscal year ended December 31, 2017, the following transactions occurred. 1. A...
-
INVOLVE was incorporated as a not-for-profit organization on January 1, 2020. During the fiscal year ended December 31, 2020, the following transactions occurred. 1. A business donated rent-free...
-
Trent Marcus has 3 major suppliers: Parker is in the same business as Trent and offers a 5 % trade disc Scott offers a trade disc of 6 % on amounts in excess of $ 200 ( trade disc does not apply to...
-
What basic types of strategies do companies commonly pursue and how are they different?
-
What argument underlies the general laissez-faire policy argument?
-
When a wire \(1.0 \mathrm{~m}\) long carries a \(20-\mathrm{A}\) current in the \(+x\) direction in a uniform external magnetic field, the magnetic force exerted by the field on the wire is given by...
-
Bryce Power Tool Company Kevin Ertle is the director of information technology (IT) for the Bryce Power Tool Company. A decision was made recently to upgrade Bryces legacy systems to a comprehensive...
-
Please provide the answers and formulas, preferably through excel. Question 1 Consider the following three stocks: a) Stock A is expected to provide a dividend of $10 a share forever (starting next...
-
AP Vianne is the management accountant for Divvy, a bike-sharing service in Chicago. She is trying to plan for summer activity by using the most recent ridership information provided. She needs to...
-
The Up and Coming Corporation's common stock has a beta of 1.95. If the risk-free rate is 0.04 and the expected return on the market is 0.09, what is the company's cost of equity capital? Enter the...
-
what ways do foresight methodologies, such as scenario planning and trend analysis, inform visionary decision-making processes and enable organizations to adapt proactively to emerging challenges and...
-
Social media provides many-to-many marketing communication and there is no doubt that social media is the place to be in marketing communications now even though many organizations have not quite...
-
what ways do urban planning paradigms and architectural design principles influence the sustainable development and resilience of urban environments, fostering livability, inclusivity, and adaptive...
-
How do adept leaders navigate the intricate process of delegation, strategically assigning tasks and responsibilities to optimize team performance, while fostering autonomy, accountability, and...
-
What role does delegation play in fostering resilience and adaptive capacity within organizations, enabling leaders to respond agilely to changing circumstances, allocate resources dynamically, and...
-
B got 20% marks less than A. What percent marks did A got more than B? a) 20% b) 25% c) 12% d) 80%
-
Find the area of the surface generated by revolving the para- metric curve x = cos 1, y = sin? 1 (0 < I sa/2) about the y-axis.
-
What is a split interest agreement, and why do you believe a donor or a university would enter into such an agreement?
-
What is meant by the terms deferred outflows of resources and deferred inflows of r e sources ? When are these accounts used?
-
The City and County of Denver allocates its governmental fund balances among the classifications specified by GASB standards. Go to Denvers website and locate its CAFR report for the 2016 fiscal...
-
Research Problem Access the FASB website: https://fasb.org. Locate information about updates to accounting standards in the most recent year listed. Choose one of the updates and write a short essay...
-
What reports are required to be filed regularly with the SEC?
-
Each chapter in the textbook contains a continuation of this problem. The objective is to learn how to do a comprehensive financial statement analysis in steps as you learn the content of each...
Study smarter with the SolutionInn App