fund drive raised 185,000 in cash and 100,000 in pledges that will be paid within one year. A state government grant of 150,000 was received for program operating cost related to public health education. 3) Salaries and fringe benefits paid during the year amounted to 208,560. At year-end an additional 16,000 of salaries and fringe benefits were accrued. 4) A donor pledged 100,000 for construction of a new building payable over five fiscal years, commencing in 2022. The discounted value of the pledge is expected to be 94,260. 5) Office equipment purchased for 12,000. The useful life of the equipment is estimated to be five years. Office furniture with a fair value of 9,600 was donated by a local office supply company. The furniture has an estimated useful life of 10 years. Furniture and equipment are considered net assets without donor restrictions by INVOLVE.
December 31, 2020, the following transactions occurred.
(INVOLVED COMPANY)
1) A business donated rent-free office space to the organization that would normally rent for 35,000 a year
2) A fund drive raised 185,000 in cash and 100,000 in pledges that will be paid within one year. A state government grant of 150,000 was received for program operating cost related to public health education.
3) Salaries and
4) A donor pledged 100,000 for construction of a new building payable over five fiscal years, commencing in 2022. The discounted value of the pledge is expected to be 94,260.
5) Office equipment purchased for 12,000. The useful life of the equipment is estimated to be five years. Office furniture with a fair value of 9,600 was donated by a local office supply company. The furniture has an estimated useful life of 10 years. Furniture and equipment are considered net assets without donor restrictions by INVOLVE.
6) Telephone expense for the year was 5,200, printing and postage expense was 12,000 for the year, utilities for the year were 8,300 and supplies expense was 4,300 for the year. At the end, an immaterial amount of supplies remained on hand and the balance in accounts payable was 3,600
7) Volunteers contributed P 15,000 of time to help with answering the phones, mailing materials, and various other clerical activities.
8) It is estimated that 90% of the pledges made for the 2021 year will be collected.
9) All expenses were allocated to program services and support services in the following percentages: public health education, 35%; community
10) Net assets were released to reflect satisfaction of state grant requirements that the grant resources be used for public health education program purposes.
11) All nominal accounts were closed to the appropriate net assets accounts.
Required:
A. Make all necessary
B. Prepare trial balance.
C. Prepare a statement of activities for year ended December 31,2020.
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