The Association for Educational Enrichment receives a contribution of $400,000 that must be used for student scholarships. Prior to granting any scholarships, the Association invests the funds received in marketable securities. During the year, the securities pay dividends of $10,000 and increase in market value to $440,000. How should the association report the Investment? Report Investment in TWO fund Categories: Investment -without donor restrictions $50,000 Investment -With donor restrictions $400,000 Total Investment $450,000 Report Investment in ONE fund Categories: Investment -without donor restrictions $450,000 Report Investment in ONE fund Categories: Investment -with donor restrictions $450,000 Report Investment in TWO fund Categories: Investment -with donor restrictions $50,000 Investment -Without donor restrictions $400,000 Total Investment $450,000

The Association for Educational Enrichment receives a contribution of $400,000 that must be used for student scholarships. Prior to granting any scholarships, the Association invests the funds received in marketable securities. During the year, the securities pay dividends of $10,000 and increase in market value to $440,000. How should the association report the Investment? Report Investment in TWO fund Categories: Investment -without donor restrictions $50,000 Investment -With donor restrictions $400,000 Total Investment $450,000 Report Investment in ONE fund Categories: Investment -without donor restrictions $450,000 Report Investment in ONE fund Categories: Investment -with donor restrictions $450,000 Report Investment in TWO fund Categories: Investment -with donor restrictions $50,000 Investment -Without donor restrictions $400,000 Total Investment $450,000

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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