A not-for-profit entity receives a donation of 100 shares of securities listed on the American Stock Exchange.As a general rule,when it prepares its statement of financial position at year-end,the entity must report the securities at:

Question

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Not-for-profit entities are required to report donated securities at their fair value at the date of the statement of financial position. This approach ensures that the financial statements reflect the current market value of the assets, providing a more accurate representation of the entity's financial position.

A Not-For-Profit Entity Receives a Donation of 100 Shares of Securities