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A Donor Made a Gift of Cash to a Private

Question 94

Multiple Choice

A donor made a gift of cash to a private college or university in 2012 with an expressed purpose restriction.All of the funds were expended in 2012.The private college or university must:


A) Record the gift as a temporarily restricted revenue, reclassify the funds to unrestricted, and then report the expense as unrestricted.
B) Record the gift and expense as unrestricted.
C) Record the gift and expense as temporarily restricted.
D) Use either of the methods described in (a) or (b) .

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