Of the two types of temporary restrictions placed on contributions-purpose-type restrictions and time restrictions-only one should be reported as restricted contributions.

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Quizplus · Accepted Answer

Many donor restrictions are temporary in nature, contributed either with purpose-type restrictions or time restrictions. Both types of restrictions should be reported by a nonprofit as support with donor restrictions and will increase net assets with donor restrictions.

Of the Two Types of Temporary Restrictions Placed on Contributions-Purpose-Type