The following is the pre closing trial balance for Allen University as of June 30, 2017. Additional information related to
Net assets released from temporary restrictions totaled $426,850. The gain resulting from sale of investments was unrestricted. Twenty percent of the unrealized gain is related to permanently restricted net assets and 10 percent is related to temporarily restricted net assets, with the remainder related to unrestricted net assets.
Additional information is as follows:
The balance in cash and cash equivalents as of July 1, 2016, was $615,540.
Tuition and Fees Receivable increased by $10,230.
Pledges Receivable decreased by $1,560.
Allowance for Doubtful Accounts was increased by $770 (the bad debt was netted against Tuition and Fees).
Accounts Payable decreased by $2,900.
Accrued Liabilities decreased by $1,120.
Unearned Revenue increased by $6,200.
Depreciation Expense was $30,070.
Cash of $100,000 was used to retire bonds.
Investments were sold for $1,500,000 (at a gain of $70,000) and others were purchased for $1,250,000.
Unrestricted net assets were used to purchase equipment at a cost of $33,000.
a. Prepare a statement of activities for the year ended June 30, 2017.
b. Prepare a statement of financial position for June 30, 2017.
c. Prepare a statement of cash flows for the year ended June 30, 2017.
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