How should investment income earned from the investment of endowment contributions be accounted for if the not-for-profit organization uses the restricted fund method of accounting and the use of the investment income is restricted to a specific purpose for which the not-for-profit organization has a restricted fund?
A) As investment income in the endowment fund
B) As a deferred contribution
C) As investment income in the general fund
D) As investment income in the specific restricted fund
Correct Answer:
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