Show the treatment of the following items by a not-for-profit organisation:(i) Annual subscription(ii) Specific donation(iii) Sale of fixed assets(iv) Sale of old periodicals(v) Sale of sports materials(vi) Life membership fee

Show the treatment of the following items by a not-for-profit organisation:(i) Annual subscription(ii) Specific donation(iii) Sale of fixed assets(iv) Sale of old periodicals(v) Sale of sports materials(vi) Life membership fee

SWFT Corp Partner Estates Trusts

42nd Edition

ISBN:9780357161548

Author:Raabe

Publisher:Raabe

Chapter15: Exempt Entities

Section: Chapter Questions

Problem 11DQ

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The following information was taken from the accounts and records of the Helping HandsFoundation, a private, not-for-profit organization classified as a VHWO. All balances are as ofJune 30, 2014, unless otherwise noted.Unrestricted Support - Contributions $2,000,000Unrestricted Support - Membership Dues 640,000Unrestricted Revenues - Investment Income 80,000Temporarily restricted gain on sale of investments 25,000Expenses - Program Services 1,860,000Expenses - Supporting Services 350,000Expenses - Supporting Services 550,000Temporarily Restricted Support - Contributions 640,000Temporarily Restricted Revenues - Investment Income 60,000Permanently Restricted Support - Contributions 100,000Unrestricted Net Assets, July 1, 2013 450,000Temporarily Restricted Net Assets, July 1, 2013 2,100,000Permanently Restricted Net Assets, July 1, 2013 60,000 The unrestricted support from contributions was received in cash during the year. The expensesincluded $1,350,000 paid from temporarily-restricted…