Which of the following would not be correct with respect to accounting for colleges and universities under the jurisdiction of the FASB?
A) Contributed services should be recognized only when the services create or enhance nonfinancial assets or require specialized skills, are provided by an individual possessing those skills, and would typically be purchased if not provided by donation
B) Multiyear pledges are recorded as restricted revenue and receivable for the gross amount of the pledge when the pledge is made
C) Depreciation is recorded
D) Investments in stock with determinable fair values and all debt securities are reported at market value

Question

Quizplus · Accepted Answer

Multiyear pledges should be recorded at their present value at the time they are received and the restrictions should be recognized as donor-imposed.

Which of the Following Would Not Be Correct with Respect