Required a. Calculate the total amount of support that qualifies as "public support" in meeting the public support test to escape private foundation status. Grant from the State United Way Support Grant from the City Contributions: Small Contributions Large Contributions Public Support $ $ Amount 25,900 11,100 11,100 21,200 25,752 95,052
Required a. Calculate the total amount of support that qualifies as "public support" in meeting the public support test to escape private foundation status. Grant from the State United Way Support Grant from the City Contributions: Small Contributions Large Contributions Public Support $ $ Amount 25,900 11,100 11,100 21,200 25,752 95,052
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Calculate the remaining
![Exercise 13-19 (Algo) Public Charity [LO 13-3]
The Let's Read organization is a public charity under IRC section 501(c)(3). It had total support of the following:
United Way support
Grant from the state
Grant from the city
Contributions from individuals
Investment income
Revenue from the sale of books
Grant from the State
United Way Support
Grant from the City
Contributions:
Of the $262,300 received from individuals, $241,100 came from four contributors, each of whom gave $60,275; the other $21,200
came from small individual contributions.
Required
a. Calculate the total amount of support that qualifies as "public support" in meeting the public support test to escape private
foundation status.
Small Contributions
Large Contributions.
Public Support
Yes
O No
Contributions:
$
Public Support
$
O Yes
O No
Amount
b. Is the organization considered a public charity?
25,900
11,100
11,100
$
21,200
25,752
95,052
c-1. If the organization had received $206,000 from one individual, and the remaining $56,300 from many small individual
contributions, calculate the total amount of support that qualifies as "public support" in meeting the public support test to escape
private foundation status.
$ 11,100
25,900
11,100
262,300
2,300
9,200
$321,900
Amount
0
c-2. If the organization had received $206,000 from one individual, and the remaining $56,300 from many small individual
contributions, would the NFP still be classified the same as in your response to part b?](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F90e7ca00-6ca4-4987-a02f-53e8330d02e7%2Fbc784e0c-76a1-4b6c-9ad3-b70e0a153fed%2Fl5z0s0a_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Exercise 13-19 (Algo) Public Charity [LO 13-3]
The Let's Read organization is a public charity under IRC section 501(c)(3). It had total support of the following:
United Way support
Grant from the state
Grant from the city
Contributions from individuals
Investment income
Revenue from the sale of books
Grant from the State
United Way Support
Grant from the City
Contributions:
Of the $262,300 received from individuals, $241,100 came from four contributors, each of whom gave $60,275; the other $21,200
came from small individual contributions.
Required
a. Calculate the total amount of support that qualifies as "public support" in meeting the public support test to escape private
foundation status.
Small Contributions
Large Contributions.
Public Support
Yes
O No
Contributions:
$
Public Support
$
O Yes
O No
Amount
b. Is the organization considered a public charity?
25,900
11,100
11,100
$
21,200
25,752
95,052
c-1. If the organization had received $206,000 from one individual, and the remaining $56,300 from many small individual
contributions, calculate the total amount of support that qualifies as "public support" in meeting the public support test to escape
private foundation status.
$ 11,100
25,900
11,100
262,300
2,300
9,200
$321,900
Amount
0
c-2. If the organization had received $206,000 from one individual, and the remaining $56,300 from many small individual
contributions, would the NFP still be classified the same as in your response to part b?
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