Loan funds: Loan funds are established to account for resources that are available for loans primarily to students and possibly to faculty and staff. A separate fund is used because of large amounts of federal and state resources made available to universities for student loans. Loan funds are self-perpetuating, with repayments of principal and the excess interest is collected over costs incurred becoming the base for additional loans. Both principal and earnings must be available for loan purposes. The resources of loan funds consist of mainly gifts restricted for the loan and unrestricted current fund resources transferred by authorization of the governing board. Although assets are not segregated by restriction, the net assets must reveal their restricted and unrestricted portions. The best option.

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Answer 1

Question

Chapter 19, Problem 19.1.8P

To determine

Introduction:

Loan funds:

Loan funds are established to account for resources that are available for loans primarily to students and possibly to faculty and staff. A separate fund is used because of large amounts of federal and state resources made available to universities for student loans. Loan funds are self-perpetuating, with repayments of principal and the excess interest is collected over costs incurred becoming the base for additional loans. Both principal and earnings must be available for loan purposes.

The resources of loan funds consist of mainly gifts restricted for the loan and unrestricted current fund resources transferred by authorization of the governing board. Although assets are not segregated by restriction, the net assets must reveal their restricted and unrestricted portions.

The best option.

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Answer 2

Question

Chapter 19, Problem 19.1.8P

To determine

Introduction:

Loan funds:

Loan funds are established to account for resources that are available for loans primarily to students and possibly to faculty and staff. A separate fund is used because of large amounts of federal and state resources made available to universities for student loans. Loan funds are self-perpetuating, with repayments of principal and the excess interest is collected over costs incurred becoming the base for additional loans. Both principal and earnings must be available for loan purposes.

The resources of loan funds consist of mainly gifts restricted for the loan and unrestricted current fund resources transferred by authorization of the governing board. Although assets are not segregated by restriction, the net assets must reveal their restricted and unrestricted portions.

The best option.

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Answer 3

Question

Chapter 19, Problem 19.1.8P

To determine

Introduction:

Loan funds:

Loan funds are established to account for resources that are available for loans primarily to students and possibly to faculty and staff. A separate fund is used because of large amounts of federal and state resources made available to universities for student loans. Loan funds are self-perpetuating, with repayments of principal and the excess interest is collected over costs incurred becoming the base for additional loans. Both principal and earnings must be available for loan purposes.

The resources of loan funds consist of mainly gifts restricted for the loan and unrestricted current fund resources transferred by authorization of the governing board. Although assets are not segregated by restriction, the net assets must reveal their restricted and unrestricted portions.

The best option.

Expert Solution & Answer

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Answer 4

Question

Chapter 19, Problem 19.1.8P

To determine

Introduction:

Loan funds:

Loan funds are established to account for resources that are available for loans primarily to students and possibly to faculty and staff. A separate fund is used because of large amounts of federal and state resources made available to universities for student loans. Loan funds are self-perpetuating, with repayments of principal and the excess interest is collected over costs incurred becoming the base for additional loans. Both principal and earnings must be available for loan purposes.

The resources of loan funds consist of mainly gifts restricted for the loan and unrestricted current fund resources transferred by authorization of the governing board. Although assets are not segregated by restriction, the net assets must reveal their restricted and unrestricted portions.

The best option.

Expert Solution & Answer

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Answer 5

Chapter 19, Problem 19.1.8P

To determine

Introduction:

Loan funds:

Loan funds are established to account for resources that are available for loans primarily to students and possibly to faculty and staff. A separate fund is used because of large amounts of federal and state resources made available to universities for student loans. Loan funds are self-perpetuating, with repayments of principal and the excess interest is collected over costs incurred becoming the base for additional loans. Both principal and earnings must be available for loan purposes.

The resources of loan funds consist of mainly gifts restricted for the loan and unrestricted current fund resources transferred by authorization of the governing board. Although assets are not segregated by restriction, the net assets must reveal their restricted and unrestricted portions.

The best option.

Answer 6

Chapter 19, Problem 19.1.8P

To determine

Introduction:

Loan funds:

Loan funds are established to account for resources that are available for loans primarily to students and possibly to faculty and staff. A separate fund is used because of large amounts of federal and state resources made available to universities for student loans. Loan funds are self-perpetuating, with repayments of principal and the excess interest is collected over costs incurred becoming the base for additional loans. Both principal and earnings must be available for loan purposes.

The resources of loan funds consist of mainly gifts restricted for the loan and unrestricted current fund resources transferred by authorization of the governing board. Although assets are not segregated by restriction, the net assets must reveal their restricted and unrestricted portions.

The best option.

Answer 7

Chapter 19, Problem 19.1.8P

To determine

Introduction:

Loan funds:

Loan funds are established to account for resources that are available for loans primarily to students and possibly to faculty and staff. A separate fund is used because of large amounts of federal and state resources made available to universities for student loans. Loan funds are self-perpetuating, with repayments of principal and the excess interest is collected over costs incurred becoming the base for additional loans. Both principal and earnings must be available for loan purposes.

The resources of loan funds consist of mainly gifts restricted for the loan and unrestricted current fund resources transferred by authorization of the governing board. Although assets are not segregated by restriction, the net assets must reveal their restricted and unrestricted portions.

The best option.

Answer 8

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Answer 9

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Answer 10

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Answer 11

Ch. 19 - Prob. 1UTI Ch. 19 - Prob. 2UTI Ch. 19 - Prob. 3UTI Ch. 19 - Distinguish assets lmited as to use from...Ch. 19 - Prob. 5UTI Ch. 19 - Prob. 6UTI Ch. 19 - Prob. 1E Ch. 19 - Record the following operating activities: 1....Ch. 19 - Record the following events that affect the loan...Ch. 19 - Prob. 5E

Solution Summary: The author explains that loan funds are self-perpetuating, with repayments of principal and the excess interest collected over costs incurred becoming the base for additional loans.

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