Exam 26: Not-For-Profit Organizations: Introduction and Private Npos

Under FAS 117, private nonprofit organizations must present financial statements that focus on the nonprofit organization as a whole.

_____ Under FAS 117, how would the spending of money donated in the prior year for spending in the current year be reported in the statement of activities?

_____ Under FAS 117, how would the expiration of a prior-year donor restriction as to purpose be reflected in the current-year statement of activities?

_____ Under FAS 116, donor-restricted contributions are recognized in the financial statements

_____ During 2006, Sodona State University (SSU) billed its students $9,000,000 for tuition. The net amount contractually to be paid was only $8,500,000, however, because of the following items: Which of the following amounts should SSU--which engages only in business-type activities-report in its 2006 statement of revenues, expenses, and changes in net assets?

Under FAS 117, private nonprofit organizations must classify their net assets (equity) based on (a) whether _______________________________________ exist and (b) the type of _________________________________________.

Under FAS 117, expirations of restrictions must be reported separately in the statement of activities.

For a permanent endowment created by a cash donation, subsequent investment gains that restore the fair value of the endowment fund investments to the donor's stipulated amount are reported as increases in UR net assets.

The imputed value of charity care provided is reported below the operating income or loss line in the statement of operations.

_____ For a public C&U engaged in business-type activities, which of the following items are not reported in the statement of revenues, expenses, and changes in net assets?

Contributions of monetary and nonmonetary assets are valued at their __________________.

The three categories in which contributions are to be reported are ____________________________________, _________________________, and _________________________.

Under FAS 116, the interest element in a present-value measurement is subsequently recognized as contribution income-not interest income.

Under FAS 117, all expenses are reported in the unrestricted category-even expenses incurred in satisfying donor-imposed restrictions.

Under FAS 116, contributions that create endowments are classified as increasing permanently restricted net assets.

Under FAS 116, contributions that create term endowments are classified as increasing permanently restricted net assets.

_____ For 2006, Sasko State University (SSU) had the following items: What is the total of the items that SSU reports for nonoperating revenues and expenses in its statement of revenues, expenses, and changes in net assets for 2006?

Only certain public C&Us must follow the guidance in GAS 34 that pertains to special purpose governments.

_____ A historical society received several old pictures as a gift from the family whose ancestors settled the town. The pictures are of the downtown area 80 years ago. The staff of the society has determined that the pictures have potential historical and educational use to those who may be interested in studying the area. The pictures are suitable for display, and no alternative use exists. Under FAS 116, the historical society

Public HCOs must recognize depreciation expense.