1. which of the following contributions are not recognized in the statement of activities?

 Contributions that create endowments

 None of these
 Contributions that create temporary endowments
 Contributions of services that enhance nonfinancial assets

2. When are conditional promises to give cash recognized in the financial statements?
 When the possibility of occurrence of the condition set forth in the promise becomes
remote
 None of these
 When the cash is collected
 When the promise is received
 When the promise becomes unconditional in status
3. Your answer should be a whole number. Do not use a comma, decimal, and peso sign.

Fighting Organization, an NPE, received the following contributions during 20x1.

m
a. P400,000 cash restricted for the purchase of equipment.

er as
b. P1,000,000 cash restricted for the renovation of an old building owned by Fighting.

co
eH w
Fighting made the renovation in 20x2 and acquired the equipment in 20x3

o.
rs e
Total revenue recognized on the contributions in 20x1 is _______
ou urc
Answer: 1,400,000
Net assets released from restrictions in Fighting’s 20x2 statement of activities is
Answer: 1,000,000
o

4. Which of the following contributions are recognized in the statement of activities?

aC s

 Contributions of services that enhance either financial or nonfinancial assets

vi y re

 Contributions of services that enhance nonfinancial assets

 Contributions of services regardless of whether they enhance assets or who performs
them
 Contributions of services that enhance financial assets
ed d
ar stu

5. Alice makes a cash gift which has no strings attached to a political party. It is recorded as
 Revenue-unrestricted contribution
 Revenue-temporarily restricted contribution
 An increase in the fund balance of the General Fund
is

 An endowment
Th

7. Unconditional promises to give that include promises of payments due in future periods are
reported as
 Deferred revenue until payment is received
sh

 Restricted revenues
 Unrestricted revenues
 A memorandum until the year of the promised payment

This study source was downloaded by 100000787982896 from CourseHero.com on 04-29-2021 04:03:40 GMT -05:00

https://www.coursehero.com/file/80151203/CPA-reviewer-part1docx/
Powered by TCPDF (www.tcpdf.org)