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If a Not-For-Profit Organization Uses the Restricted Fund Method of Reporting

Question 26

Multiple Choice

If a not-for-profit organization uses the restricted fund method of reporting and has an endowment fund, how should an endowment contribution be reported?


A) As revenue in the general fund.
B) As revenue in the endowment fund.
C) As a direct increase in net assets in the general fund.
D) As a direct increase in net assets in the endowment fund.

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