Chapter 14, Problem 14.2EP

According to GAAP, all not-for-profit organizations are required to prepare only the following statements:

1. a.      A statement of activities, a statement of cash flows, and a statement of functional expenses using accrual accounting.
2. b.      A statement of activities, a balance sheet, and a statement of cash flows using accrual accounting.
3. c.       A statement of financial position and a statement of activities using accrual accounting.
4. d.      A statement of cash flows, a statement of activities, and a statement of financial position using either cash basis or accrual basis accounting.