Questions from Advanced Accounting


Q: On January 1, Year 2, several supporters of the entity

On January 1, Year 2, several supporters of the entity above spent their own money to construct a garage for its vehicles that is worth $70,000. It should last for 10 years and will have no salvage va...

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Q: On December 25 of Year 2, the entity above received a

On December 25 of Year 2, the entity above received a $40,000 cash gift. The donor specified that the entity hold the money for four months. If, at the end of four months, the donor still wished to do...

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Q: Assume that Charity A and Charity B are alike in every way

Assume that Charity A and Charity B are alike in every way except as described below. Assume that each of these questions is independent from all other questions. a. Each charity suffers significant d...

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Q: During the year ended December 31, 2017, Anderson Hospital (

During the year ended December 31, 2017, Anderson Hospital (operated as a private not-for-profit entity) received and incurred the following: Fair value of donated medicines . . . . . . . . . . . . ....

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Q: Boswell and Johnson form a partnership on May 1, 2016.

Boswell and Johnson form a partnership on May 1, 2016. Boswell contributes cash of $50,000;Johnson conveys title to the following properties to the partnership: The partners agree to start their par...

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Q: The following questions concern the appropriate accounting for a private not-

The following questions concern the appropriate accounting for a private not-for-profit health care entity. Write complete answers for each question. a. What is a third-party payor, and how have third...

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Q: Under Lennon Hospital’s rate structure, it earned patient service revenue of

Under Lennon Hospital’s rate structure, it earned patient service revenue of $9 million for the year ended December 31, 2017. However, Lennon did not expect to collect this entire amount because it de...

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Q: Wilson Center is a private not-for-profit voluntary health

Wilson Center is a private not-for-profit voluntary health and welfare entity. During 2017, it received unrestricted pledges of $600,000, 60 percent of which were payable in 2017, with the remainder p...

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Q: A private not-for-profit entity is working to create

A private not-for-profit entity is working to create a cure for a deadly disease. The charity starts the year with cash of $700,000. Of this amount, unrestricted net assets total $400,000, temporarily...

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Q: The following questions concern the accounting principles and procedures applicable to a

The following questions concern the accounting principles and procedures applicable to a private not-for-profit entity. Write answers to each question. a. What is the difference between revenue and pu...

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