The following transactions pertain to the activities of the Lexington: Players (LP), a private not-for-profit theater. For

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Question:

The following transactions pertain to the activities of the Lexington:

Players (LP), a private not-for-profit theater. For each transaction below, state which classification of net assets is correct:

A. Affects Net Assest Without Donor Restrictions Only
B. Affects Net Assets With Donor Restrictions Only
C. Affects Both Net Assets With and Without Donor Restrictions
D. Affects Neither Net Assets With Nor Without Donor Restrictions

_____In Year 1, LP receives a cash donation of $5,000, which must be used for a specific performance to be attended only by disadvantaged youths.

_____In Year 2, LP gives the performance referred to in transaction

_____LP spends $50,000 on fund-raising expenses.

_____The ushers donate their services in exchange for seeing the productions for free

_____A wealthy theater patroness makes an unrestricted donation of $100,000 to LP with the stipulation that LP must raise $200,000 in new contributions within the next year or her donation must be returned. No new contributions have been raised at this point.

_____LP meets the stipulations of the wealthy theater patroness and raises the required funds.

_____Lady Gaga pledges to give $1,000,000 to LP. The gift is without restrictions but will not be received until next year.

_____LP receives $1,000,000 from Lady Gaga in satisfaction of her pledge.