36. Gray College, a private not-for-profit institution, received a contribution of $100,000 for faculty re- search. The donation was received in Year 5 and $80,000 was spent in Year 5. As a result of these transactions, Gray College should report on its Year 5 statement of activities a: a. $20,000 increase in temporarily restricted net assets. b. $100,000 increase in temporarily restricted net assets. c. $80,000 increase in temporarily restricted net assets. d. $100,000 increase in unrestricted net assets. 37. Clay University, a not-for-profit university, earned $300,000 from bookstore revenue and spent $100,000 for faculty research in Year 5. The $100,000 for faculty research came from a $150,000 research grant received in the previous year. What is the effect of these events on unrestricted net assets in Year 5? a. Increase $300,000. b. Increase $400,000. c. Increase $450,000. d. Increase $200,000.

ENGR.ECONOMIC ANALYSIS
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36. Gray College, a private not-for-profit institution,
received a contribution of $100,000 for faculty re-
search. The donation was received in Year 5 and
$80,000 was spent in Year 5. As a result of these
transactions, Gray College should report on its Year 5
statement of activities a:
a. $20,000 increase in temporarily restricted net
assets.
b. $100,000 increase in temporarily restricted net
assets.
c. $80,000 increase in temporarily restricted net
assets.
d. $100,000 increase in unrestricted net assets.
37. Clay University, a not-for-profit university,
earned $300,000 from bookstore revenue and spent
$100,000 for faculty research in Year 5. The
$100,000 for faculty research came from a $150,000
research grant received in the previous year. What is
the effect of these events on unrestricted net assets in
Year 5?
a. Increase $300,000.
b. Increase $400,000.
c. Increase $450,000.
d. Increase $200,000.
Transcribed Image Text:36. Gray College, a private not-for-profit institution, received a contribution of $100,000 for faculty re- search. The donation was received in Year 5 and $80,000 was spent in Year 5. As a result of these transactions, Gray College should report on its Year 5 statement of activities a: a. $20,000 increase in temporarily restricted net assets. b. $100,000 increase in temporarily restricted net assets. c. $80,000 increase in temporarily restricted net assets. d. $100,000 increase in unrestricted net assets. 37. Clay University, a not-for-profit university, earned $300,000 from bookstore revenue and spent $100,000 for faculty research in Year 5. The $100,000 for faculty research came from a $150,000 research grant received in the previous year. What is the effect of these events on unrestricted net assets in Year 5? a. Increase $300,000. b. Increase $400,000. c. Increase $450,000. d. Increase $200,000.
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