A Private College Received a $2,000,000 Gift from a Donor

Multiple Choice

A private college received a $2,000,000 gift from a donor. The college's governing board voted to use the $2,000,000 to establish an endowment,with the intent to keep the principal intact forever. The income from the endowment was to be used to fund research in the biology department. How should the college classify the $2,000,000 gift?

A) Unrestricted.
B) Temporarily restricted.
C) Permanently restricted.
D) Either temporarily or permanently restricted.