(a)
Introduction: The statement of activities is the financial statement of a non- profit organization or otherwise. The statement of activities has multiple columns for reporting the amounts for the following net assets:
- Without donor restriction funds
- With donor restriction funds
- The aggregate amount
The statement of activities for the year ended March 31, 20X3
(a)
Answer to Problem 19.14P
Statement of Activities for the year ended December 31, 20X2
Particulars | Unrestricted | Temporarily restricted |
Public support and revenue: | ||
Public support: | ||
Contributions (300,000-2,000) | 298,000 | 15,000 |
Revenues: | ||
Membership fees | 25,000 | |
Program service fees | 30,000 | |
Investment income | 10,000 | |
Net assets realized | ||
Time restriction (endowment fund) | 20,000 | (20,000) |
Use restriction | 5,000 | (5,000) |
Total support and revenue (A) | 388,000 | 10,000 |
Expenses: | ||
Program services: | ||
Deaf children | 120,000 | |
Blind children | 150,000 | |
Total program services | 270,000 | |
Supporting services: | ||
Management and general | 49,000 | |
Fund raising | 9,000 | |
Total supporting services | 58,000 | |
Total expenses (B) | 8,000 | |
Change in net assets (A-B) | 60,000 | (10,000) |
Add: Fund balance, July 1, 20X3 | 38,000 | 23,000 |
Fund balance, June 30, 20X4 | 98,000 | 13,000 |
Explanation of Solution
The statement of activities is the financial statement for a no- profit organization. In the above presented statement of activities, CA’s various revenues and expenses are shown under their respective heads. The amount of unrestricted fund balance is $98,000 and temporarily restricted fund is $13,000 as of June 30, 20X4
(b)
Introduction: The financial statement of a company discloses the financial position of a company at the end of the year. With the help of a financial statement one can know the financial capacity of a company at any given point of time.
The financial statement of C for the year ended June 30, 20X4
(b)
Answer to Problem 19.14P
Financial statement for the year ended June 30, 20X4
Particulars | Amount | Amount |
Assets: | ||
Cash | 40,000 | |
Investments | 100,000 | |
Pledges receivable | 9,000 | |
Interest receivable | 1,000 | |
Restricted assets | 13,000 | |
Total assets | 163,000 | |
Liabilities: | ||
Accounts payable | 50,000 | |
Deferred revenue | 2,000 | |
Net assets: | ||
Unrestricted | 98,000 | |
Temporarily restricted | 13,000 | |
Total net assets | 111,000 | |
Total liabilities and net assets | 163,000 |
Explanation of Solution
The total amount of assets and liabilities as of June 30, 20X4 is $163,000
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Chapter 19 Solutions
LOOSE-LEAF ADVANCED FINANCIAL ACCOUNTING
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