In need help with preparing the following for journal entries, balance and statement sheets. I would like to know how close I'm to the right answers A donor made a $1,000,000 pledge, giving the foundation a legally enforceable 90-day note for the full amount. The same donor paid $500,000 of the amount pledged. The foundation purchased a building for $900,000, paying $90,000 in cash and giving a ten-year mortgage for the balance. The building has a 25-year useful life. The foundation charges a half-year’s depreciation for all assets in the year they are acquired. The foundation hired five employees. By year-end, these employees have earned $10,000 in salaries and wages for which they have not been paid. The foundation accounts for its activities in a single fund. Prepare journal entries to record the transactions, making the following alternative assumptions as to the fund’s measurement focus: Cash only Cash plus other current financial resources (cash plus short-term receivables less short-term payables) All economic resources
In need help with preparing the following for journal entries, balance and statement sheets. I would like to know how close I'm to the right answers A donor made a $1,000,000 pledge, giving the foundation a legally enforceable 90-day note for the full amount. The same donor paid $500,000 of the amount pledged. The foundation purchased a building for $900,000, paying $90,000 in cash and giving a ten-year mortgage for the balance. The building has a 25-year useful life. The foundation charges a half-year’s depreciation for all assets in the year they are acquired. The foundation hired five employees. By year-end, these employees have earned $10,000 in salaries and wages for which they have not been paid. The foundation accounts for its activities in a single fund. Prepare journal entries to record the transactions, making the following alternative assumptions as to the fund’s measurement focus: Cash only Cash plus other current financial resources (cash plus short-term receivables less short-term payables) All economic resources
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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In need help with preparing the following for
- A donor made a $1,000,000 pledge, giving the foundation a legally enforceable 90-day note for the full amount.
- The same donor paid $500,000 of the amount pledged.
- The foundation purchased a building for $900,000, paying $90,000 in cash and giving a ten-year mortgage for the balance. The building has a 25-year useful life. The foundation charges a half-year’s
depreciation for all assets in the year they are acquired. - The foundation hired five employees. By year-end, these employees have earned $10,000 in salaries and wages for which they have not been paid.
The foundation accounts for its activities in a single fund.
- Prepare journal entries to record the transactions, making the following alternative assumptions as to the fund’s measurement focus:
- Cash only
- Cash plus other current financial resources (cash plus short-term receivables less short-term payables)
- All economic resources
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