Chapter 19, Problem 19.6.1P

To determine

Journal Entries:

Journal entries refers to the procedure which records all the transactions whether it is economic transaction or non-economic transaction in a chronological order.

To prepare:

The journal entries for the events.

Explanation of Solution

Journal entries for the events are as follows:

Journal
Serial Number	Particulars	Amount	Amount
a.	Cash	$90,000
	Revenues-Temporarily Restricted Contributions		$45,000
	Revenues-Permanently Restricted Contributions		$45,000
	(to record the revenues-temporarily and permanently)
	Endowments Investments	$45,000
	Cash		$45,000
	(to record the endowment investments)

Table (1)

Journal
Serial Number	Particulars	Amount	Amount
b.	Cash	$1,686,000
	Accounts Receivable	$148,000
	Deferred Revenues	$66,000
	Revenues-Student Tuition and Fees		$1,900,000
	(to record the revenues)
	Cash	$158,000
	Deferred Revenues		$158,000
	(to record the deferred revenues)

Table (2)

Journal
Serial Number	Particulars	Amount	Amount
c.	Cash	$308,000
	Allowance for uncollectible tuition and fees	$12,000
	Accounts Receivable		$320,000
	(to record the accounts receivable)
	Expenses-Institutional Support	$9,000
	Allowance for uncollectible tuition and fees		$9,000

Table (3)

Journal
Serial Number	Particulars	Amount	Amount
d.	Cash	$6,000
	Revenues-Unrestricted investment income		$6,000
	(to record the unrestricted revenues)

Table (4)

Journal
Serial Number	Particulars	Amount	Amount
e.	Cash	$75,000
	State appropriations receivable		$75,000
	(to record the state appropriations receivables)
	State appropriations receivable	$40,000
	Revenues-state government appropriations		$40,000
	(to record the amount transferred of state appropriations receivable to revenues)

Table (5)

Journal
Serial Number	Particulars	Amount	Amount
f.	Cash	$30,000
	Revenues-Temporarily restricted contributions		$30,000
	(to record the revenues)

Table (6)

Journal
Serial Number	Particulars	Amount	Amount
g.	Cash	$24,000
	Investments		$21,000
	Revenues-Temporarily restricted gain on the sale of investments		$1,100
	Revenues-Temporarily restricted investment income		$1,900
	(to record the revenues)

Table (7)

Journal
Serial Number	Particulars	Amount	Amount
h.	Instruction expenses	$500,000
	Research expenses	$400,000
	Institutional support expenses	$100,000
	Student aid expenses	$100,000
	Student services expense	$200,000
	Operation and maintenance of plant expense	$500,000
	Accounts payable		$60,000
	Cash		$1,740,000
	(to record the various expenses)

Table (8)

Journal
Serial Number	Particulars	Amount	Amount
i.	Expenses-Research	$13,000
	Cash		$13,000
	(to record the payment of expenses)
	Reclassifications out-Temporarily restricted	$13,000
	Reclassifications in- Unrestricted		$13,000
	(to record the restricted and unrestricted amount)

Table (9)

Journal
Serial Number	Particulars	Amount	Amount
j.	Accounts Payable	$40,000
	Cash		$40,000
	(to record the accounts payable)

Table (10)

Journal
Serial Number	Particulars	Amount	Amount
k.	Cash	$7,000
	Revenues-Temporarily restricted		$7,000
	(to record the revenues-temporarily restricted)

Table (11)

Journal
Serial Number	Particulars	Amount	Amount
l.	Cash	$16,000
	Pledges Receivable	$14,000
	Revenues- unrestricted contributions		$30,000
	(to record the revenues-temporarily restricted)
	Expenses- Uncollectible contributions	$2,000
	Allowance for uncollectible contributions		$2,000
	(to record the revenues-temporarily restricted)

Table (12)