During the current year a not-for-profit entity received a contribution of $100,000 to use for scholarships.In the current year the entity had already budgeted $400,000 for scholarships.During the current year, the entity disbursed $350,000 for scholarships.The amount the entity can consider as 'released from restriction' in the current year is

Question

Quizplus · Accepted Answer

The contribution of $100,000 is the only amount that can be released from restriction in the current year. The budgeted amount of $400,000 and the disbursed amount of $350,000 were already designated for scholarships and therefore cannot be considered as released from restriction.

During the Current Year a Not-For-Profit Entity Received a Contribution