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The Monks Veterinary Hospital Receives $1

Question 36

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The Monks Veterinary Hospital receives $1.5 million from the Clementine Foundation.Only the earnings from investing the contribution may be used by the Hospital to conduct research on feline leukemia.Assuming the Hospital uses fund accounting for internal purposes,which funds should be used to report (1)the assets and (2)any investment earnings?  original  investment  contribution  earnings a. endowment fund  endowment fund b. general fund  specific purpose fund c. specific purpose fund  general fund d. endowment fund  specific purpose fund \begin{array}{lll}&\text { original } & \text { investment } \\&\text { contribution } & \text { earnings }\\\hline a.& \text { endowment fund } & \text { endowment fund } \\b.&\text { general fund } & \text { specific purpose fund } \\c.&\text { specific purpose fund } & \text { general fund } \\d.&\text { endowment fund } & \text { specific purpose fund }\end{array}

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