Advanced Accounting 10th Edition by Thomas Schaefer, Joe Ben Hoyle, Timothy Doupnik

Exercise 70

For a number of years, a private not-for-profit organization has been preparing financial statements that do not necessarily follow generally accepted accounting principles.At the end of the most recent year (Year 2), those financial statements show total assets of $900,000, total liabilities of $100,000, total unrestricted net assets of $400,000, total temporarily restricted net assets of $300,000, and total permanently restricted net assets of $100,000.In addition, total expenses for the year were $500,000 (shown in unrestricted net assets).
On January 1, Year 2, several supporters of the organization spent their own money to construct a garage for its vehicles that is worth $70,000.It should last for 10 years and will have no salvage value although no time restriction was assumed.The organisation increased its contributions within the unrestricted net assets for $70,000 and increased its expenses within unrestricted net assets for $70,000.
a.What was the correct amount of unrestricted net assets at the end of Year 2
b.What was the correct amount of total assets at the end of Year 2
c.What was the correct amount of expenses for Year 2