nerine College, a private 1 P5,000,000 from alumni for construction of a new wing on the science building to be constructed in 2018. II. P 1,000,000 from a donor who stipulated that the contribution be invested indefinitely and that the earnings be used for scholarships. As of December 31, 2017, earnings from investments amounted to P50,000. ront college, during 2017:

nerine College, a private 1 P5,000,000 from alumni for construction of a new wing on the science building to be constructed in 2018. II. P 1,000,000 from a donor who stipulated that the contribution be invested indefinitely and that the earnings be used for scholarships. As of December 31, 2017, earnings from investments amounted to P50,000. ront college, during 2017:

SWFT Comprehensive Volume 2019

42nd Edition

ISBN:9780357233306

Author:Maloney

Publisher:Maloney

Chapter17: Corporations: Introduction And Operating Rules

Section: Chapter Questions

Problem 45P

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Jeffrey Dean, a Masters Degree candidate at North State Central University, was awarded a 15,000 scholarship from North State Central in the current year. During the current year, he paid the following expenses: In addition, he received 6,000 for teaching two undergraduate accounting courses. What amount must be included in Deans gross income? a. 0 b. 6,000 c. 7,500 d. 21,000
On December 27, 2019, Roberta purchased four tickets to a charity ball sponsored by the city of San Diego for the benefit of underprivileged children. Each ticket cost 200 and had a fair market value of 35. On the same day as the purchase, Roberta gave the tickets to the minister of her church for personal use by his family. At the time of the gift of the tickets, Roberta pledged 4,000 to the building fund of her church. The pledge was satisfied by a check dated December 31, 2019, but not mailed until January 3, 2020. a. Presuming that Roberta is a cash basis and calendar year taxpayer, how much can she deduct as a charitable contribution for 2019? b. Would the amount of the deduction be any different if Roberta was an accrual basis taxpayer? Explain.
The Watson Foundation, a private not-for-profit entity, starts 2017 with cash of $100,000; contributions receivable (net) of $200,000; investments of $300,000; and land, buildings, and equipment of $200,000. In addition, its unrestricted net assets were $400,000, temporarily restricted net assets were $100,000, and permanently restricted net assets were $300,000. Of the temporarily restricted net assets, 50 percent must be used to help pay for a new building; the remainder is restricted for salaries. No implied time restriction was designated for the building when purchased. For the permanently restricted net assets, all income is unrestricted.During the current year, the entity has the following transactions:∙ Computed interest of $20,000 on the contributions receivable.∙ Received cash of $100,000 on the contributions and wrote off another $4,000 as uncollectible.∙ Received unrestricted cash gifts of $180,000.∙ Paid salaries of $90,000 with $15,000 of that amount coming from…
The Watson Foundation, a private not-for-profit entity, starts 2017 with cash of $100,000; contributions receivable (net) of $200,000; investments of $300,000; and land, buildings, and equipment of $200,000. In addition, its unrestricted net assets were $400,000, temporarily restricted net assets were $100,000, and permanently restricted net assets were $300,000. Of the temporarily restricted net assets, 50 percent must be used to help pay for a new building; the remainder is restricted for salaries. No implied time restriction was designated for the building when purchased. For the permanently restricted net assets, all income is unrestricted. During the current year, the entity has the following transactions: Computed interest of $20,000 on the contributions receivable. Received cash of $100,000 on the contributions and wrote off another $4,000 as uncollectible. Received unrestricted cash gifts of $180,000. Paid salaries of $90,000 with $15,000 of that amount coming from…
The Alumni Association of a university desires to award 260000 dollars scholarship annually to deserving students for as long as its scholarship fund shall last. The fund was started on July 1, 2018 by a donor in the amount 1,300,000 dollars . The Alumni Association invested this sum at that time at 8% per annum and plans on adding an amount of 12,000 per year to fund from its dues starting July 1, 2019 for as long as awards are made. For how many years starting July 1, 2019 can scholarship be awarded?