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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
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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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
Transcribed Image Text: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
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