Identify the financial statement that should be prepared by a private college or university and public college or university.

Question

Want to see more full solutions like this?

Answer 1

Question

Definition Definition Financial statement that provides a snapshot of an organization's financial position at a specific point in time. It summarizes a company's assets, liabilities, and shareholder's equity, detailing what the company owns, what it owes, and what is left over for its owners. The balance sheet serves as a crucial tool to assess the financial health and stability of a company, as well as to help management make informed decisions about its future investments and financial obligations.

Chapter 15, Problem 1Q

To determine

Identify the financial statement that should be prepared by a private college or university and public college or university.

Expert Solution & Answer

Explanation of Solution

As per FASB (Financial Accounting Standard Board) the private colleges and universities are required to prepare statement of financial position (balance sheet), statement of cash flows, and statement of activities. These statements are similar with the financial statements prepared by the business organizations.

Moreover, they have greater flexibility like business organizations for the preparation of financial statements. Thus, the private universities and colleges can prepare either multi or single-step statements of activities and can prepare statement of cash flows using direct or indirect method.

In case of public colleges and universities, GASB (Governmental Accounting Standard Board) standards state that such institutions has to prepare balance sheet or statement of net position, statement of revenues, expenses, and changes in net position, and statement of cash flows.

GASB does not permit an option of flexibility for public colleges and universities with respect to the preparation of financial statements. For Example: As per the standards, these institutions are required to report operating and non-operating activities separately under the statement of revenues, expenses, and changes in net position. Therefore, the public universities has to report the statement of cash flows using direct method.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Students have asked these similar questions

Kindly help me with general accounting question

Solve this question financial accounting

The following financial statement information is from five separate companies. Beginning of year Assets Liabilities Compan Compan Compan Compan Compan УА y B ус y D y E $ 55,000 $34,000 $24,000 $60,000 $1,19,00 24,500 21,500 9,000 40,000 ? End of year Assets Liabilities Changes during 58,000 40,000 ? 85,000 1,13,000 ? 26,500 29,000 24,000 70,000 the year Owner 6,000 1,400 9,750 ? 6,500 investments Net income (loss) 8,500 ? 8,000 14,000 20,000 Owner 3,500 2,000 5,875 0 11,000 withdrawals Compute the amount of liabilities for Company E at the beginning of the year. End of the year Assets = Liabilities + Equity $ 1,13,000 = $ 70,000 + $ 43,000 Statement of Owner's equity Equity, beginning of year $ 43,000 Add: Investment by owner 6,500 Add: Net Income 20,000 69,500 Less: Withdrawal by owner 11,000 Equity, end of year ?

Answer 2

Question

Definition Definition Financial statement that provides a snapshot of an organization's financial position at a specific point in time. It summarizes a company's assets, liabilities, and shareholder's equity, detailing what the company owns, what it owes, and what is left over for its owners. The balance sheet serves as a crucial tool to assess the financial health and stability of a company, as well as to help management make informed decisions about its future investments and financial obligations.

Chapter 15, Problem 1Q

To determine

Identify the financial statement that should be prepared by a private college or university and public college or university.

Expert Solution & Answer

Explanation of Solution

As per FASB (Financial Accounting Standard Board) the private colleges and universities are required to prepare statement of financial position (balance sheet), statement of cash flows, and statement of activities. These statements are similar with the financial statements prepared by the business organizations.

Moreover, they have greater flexibility like business organizations for the preparation of financial statements. Thus, the private universities and colleges can prepare either multi or single-step statements of activities and can prepare statement of cash flows using direct or indirect method.

In case of public colleges and universities, GASB (Governmental Accounting Standard Board) standards state that such institutions has to prepare balance sheet or statement of net position, statement of revenues, expenses, and changes in net position, and statement of cash flows.

GASB does not permit an option of flexibility for public colleges and universities with respect to the preparation of financial statements. For Example: As per the standards, these institutions are required to report operating and non-operating activities separately under the statement of revenues, expenses, and changes in net position. Therefore, the public universities has to report the statement of cash flows using direct method.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 3

Question

Definition Definition Financial statement that provides a snapshot of an organization's financial position at a specific point in time. It summarizes a company's assets, liabilities, and shareholder's equity, detailing what the company owns, what it owes, and what is left over for its owners. The balance sheet serves as a crucial tool to assess the financial health and stability of a company, as well as to help management make informed decisions about its future investments and financial obligations.

Chapter 15, Problem 1Q

To determine

Identify the financial statement that should be prepared by a private college or university and public college or university.

Expert Solution & Answer

Explanation of Solution

As per FASB (Financial Accounting Standard Board) the private colleges and universities are required to prepare statement of financial position (balance sheet), statement of cash flows, and statement of activities. These statements are similar with the financial statements prepared by the business organizations.

Moreover, they have greater flexibility like business organizations for the preparation of financial statements. Thus, the private universities and colleges can prepare either multi or single-step statements of activities and can prepare statement of cash flows using direct or indirect method.

In case of public colleges and universities, GASB (Governmental Accounting Standard Board) standards state that such institutions has to prepare balance sheet or statement of net position, statement of revenues, expenses, and changes in net position, and statement of cash flows.

GASB does not permit an option of flexibility for public colleges and universities with respect to the preparation of financial statements. For Example: As per the standards, these institutions are required to report operating and non-operating activities separately under the statement of revenues, expenses, and changes in net position. Therefore, the public universities has to report the statement of cash flows using direct method.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 4

Question

Definition Definition Financial statement that provides a snapshot of an organization's financial position at a specific point in time. It summarizes a company's assets, liabilities, and shareholder's equity, detailing what the company owns, what it owes, and what is left over for its owners. The balance sheet serves as a crucial tool to assess the financial health and stability of a company, as well as to help management make informed decisions about its future investments and financial obligations.

Chapter 15, Problem 1Q

To determine

Identify the financial statement that should be prepared by a private college or university and public college or university.

Expert Solution & Answer

Explanation of Solution

As per FASB (Financial Accounting Standard Board) the private colleges and universities are required to prepare statement of financial position (balance sheet), statement of cash flows, and statement of activities. These statements are similar with the financial statements prepared by the business organizations.

Moreover, they have greater flexibility like business organizations for the preparation of financial statements. Thus, the private universities and colleges can prepare either multi or single-step statements of activities and can prepare statement of cash flows using direct or indirect method.

In case of public colleges and universities, GASB (Governmental Accounting Standard Board) standards state that such institutions has to prepare balance sheet or statement of net position, statement of revenues, expenses, and changes in net position, and statement of cash flows.

GASB does not permit an option of flexibility for public colleges and universities with respect to the preparation of financial statements. For Example: As per the standards, these institutions are required to report operating and non-operating activities separately under the statement of revenues, expenses, and changes in net position. Therefore, the public universities has to report the statement of cash flows using direct method.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 5

Chapter 15, Problem 1Q

To determine

Identify the financial statement that should be prepared by a private college or university and public college or university.

Expert Solution & Answer

Explanation of Solution

As per FASB (Financial Accounting Standard Board) the private colleges and universities are required to prepare statement of financial position (balance sheet), statement of cash flows, and statement of activities. These statements are similar with the financial statements prepared by the business organizations.

Moreover, they have greater flexibility like business organizations for the preparation of financial statements. Thus, the private universities and colleges can prepare either multi or single-step statements of activities and can prepare statement of cash flows using direct or indirect method.

In case of public colleges and universities, GASB (Governmental Accounting Standard Board) standards state that such institutions has to prepare balance sheet or statement of net position, statement of revenues, expenses, and changes in net position, and statement of cash flows.

GASB does not permit an option of flexibility for public colleges and universities with respect to the preparation of financial statements. For Example: As per the standards, these institutions are required to report operating and non-operating activities separately under the statement of revenues, expenses, and changes in net position. Therefore, the public universities has to report the statement of cash flows using direct method.

Answer 6

Chapter 15, Problem 1Q

To determine

Identify the financial statement that should be prepared by a private college or university and public college or university.

Expert Solution & Answer

Explanation of Solution

As per FASB (Financial Accounting Standard Board) the private colleges and universities are required to prepare statement of financial position (balance sheet), statement of cash flows, and statement of activities. These statements are similar with the financial statements prepared by the business organizations.

Moreover, they have greater flexibility like business organizations for the preparation of financial statements. Thus, the private universities and colleges can prepare either multi or single-step statements of activities and can prepare statement of cash flows using direct or indirect method.

In case of public colleges and universities, GASB (Governmental Accounting Standard Board) standards state that such institutions has to prepare balance sheet or statement of net position, statement of revenues, expenses, and changes in net position, and statement of cash flows.

GASB does not permit an option of flexibility for public colleges and universities with respect to the preparation of financial statements. For Example: As per the standards, these institutions are required to report operating and non-operating activities separately under the statement of revenues, expenses, and changes in net position. Therefore, the public universities has to report the statement of cash flows using direct method.

Answer 7

Chapter 15, Problem 1Q

To determine

Identify the financial statement that should be prepared by a private college or university and public college or university.

Answer 8

Expert Solution & Answer

Explanation of Solution

As per FASB (Financial Accounting Standard Board) the private colleges and universities are required to prepare statement of financial position (balance sheet), statement of cash flows, and statement of activities. These statements are similar with the financial statements prepared by the business organizations.

Moreover, they have greater flexibility like business organizations for the preparation of financial statements. Thus, the private universities and colleges can prepare either multi or single-step statements of activities and can prepare statement of cash flows using direct or indirect method.

In case of public colleges and universities, GASB (Governmental Accounting Standard Board) standards state that such institutions has to prepare balance sheet or statement of net position, statement of revenues, expenses, and changes in net position, and statement of cash flows.

GASB does not permit an option of flexibility for public colleges and universities with respect to the preparation of financial statements. For Example: As per the standards, these institutions are required to report operating and non-operating activities separately under the statement of revenues, expenses, and changes in net position. Therefore, the public universities has to report the statement of cash flows using direct method.

Answer 9

Expert Solution & Answer

Answer 10

Expert Solution & Answer

Answer 11

Ch. 15 - Prob. 1Q Ch. 15 - Prob. 2Q Ch. 15 - Prob. 3Q Ch. 15 - Prob. 4Q Ch. 15 - Prob. 5Q Ch. 15 - Prob. 6Q Ch. 15 - Prob. 7Q Ch. 15 - What is UPMIFA, and why is it important to...Ch. 15 - How can the performance of colleges and...Ch. 15 - Prob. 10Q

Identify the financial statement that should be prepared by a private college or university and public college or university.

Concept explainers

Identify the financial statement that should be prepared by a private college or university and public college or university.

Explanation of Solution

Want to see more full solutions like this?

Chapter 15 Solutions