Atlee makes a cash gift to a not-for-profit hospital which is restricted by the donor to buy toys for the pediatric ward.It should be recorded in the:

Question

Atlee makes a cash gift to a not-for-profit hospital which is restricted by the donor to buy toys for the pediatric ward.It should be recorded in the:​

Quizplus · Accepted Answer

A specific-purpose fund is used to account for resources that are restricted by donors to a specific purpose or activity, such as Atlee's cash gift to purchase toys for the pediatric ward of the not-for-profit hospital. The general fund is used to record unrestricted resources and day-to-day operations of the government entity. Endowment funds are restricted by donors to be invested, and only the earnings can be spent on a specific purpose. An enterprise fund is used for activities that are primarily financed and operated like a business, which is not applicable in this scenario.

Atlee Makes a Cash Gift to a Not-For-Profit Hospital Which