Question

Preparation of not-for-profit journal entries and financial statements Music and Math Camp, Inc. is a not-for-profit organization dedicated to the development of music skills in kids through weekend and summer camp experiences. Research shows that learning to read music and play an instrument helps the brain work with the body leading to stronger memory and math skills. The organization reported the following post-closing trial balance at the end of last year: Beginning Balances: DR CR Cash $140,400 Investments 1,872,000 Contributions receivable 405,600 Property, plant and equipment, net 936,000 Payables 5312,000 Long-term liabilities 624,000 Net assets-without donor restrictions 1,248.000 Net assets-with donor restrictions 1,170,000 $3,354,000 $3,354,000 The organization reported a cash investment return of 5% during the subsequent year, and the investments are allocated as follows: Investment-Without Donor Restrictions = 20% Investment-With Donor Restrictions 80% In addition to the recognition of investment returns, the organization reported the following revenues and expenses, all on account: Support-contributions (without donor restrictions) $2,184,000 Support-contributions (with donar restrictions) 253,500 Expenses-program 2,028,000 Expenses-support 288,600 Of the total expenses, $156,000 relate to uses that are paid from net assets with donor restrictions in accordance with the stipulations of the donors and are, therefore, released from restriction. During the year, the organization collected $2,340,000 of receivables and paid $2,262,000 of accounts payable. In addition, it purchased long-term assets for cash in the amount of $101,400 and recognized depreciation expense of $70,200 (of which 90% relates to program expenses and 10% relates to support expenses). The organization also purchased additional investments with excess cash in the amount of $93,600 and repaid $89,700 principal amount of long-term debt.

Answer 1

ANSWER(a):

As nothing specific asked, answering the first question.In the images below all the journal categories have been defined.

12.00 100 1.0 2.00 credit 3.00 4.00 5.00 General Journal Description Debit Cash! 1,40 pun Cash aludona trondivo Dr 18,720 To Retuan on Investment f (ti 18,720. od , too (withount Donor Restida ( Being Return received) gotato & no es gorolod cash alc 74880 To Return on Investment 74,860 (with donor restriction). (Being action deceived). artis, cash ale role ola 21,8400 To Suppost. contabulion (without donor restrictions) to o x boho? z 209 to od 6.00 7.00 Do 21,840

MAY 2014 SMTW I FS 45 2 3 6 7 B 10 12/13 18 19 20 21 22 23 24 25 26 27 28 29 30 31 14 15 16 12 16 po cash ak To support Contributions (with donor restaictions), APRIL WEDNESDAY 2014 2,53902 2,53,500 10.00 IHO 12.00 20,28,000 do 28,000 1,00 2.00 Expenses ale lo saitilidei dr. To cash (Expenses incussed), dah Payables alc Dr. 888,600 To cash 2,88,600 (Support expenses), cash ale To deceivables 83,40,000 (Amount received from sec) Dr. 9262 pou 22,62,000 Da 9.00 2340,ool 00 TO Cash MA Payables al (Amount for payables paid) fixed assets afc Do. to 1,400 To cash pl400 (Purchased long term assete) Do 40,200 To expenses-progam 163,180 To expenses - Support 7020 (Being Depreciahon levied) Deboreciation ale

17 2014 SM THURSDAY APRIL 2014 107.258 - WK 16 13 14 15 16 17 20 21 22 23 24 27 28 29 30 9360 10.00 Investment al Dr. 93,6oo. To cash in produa (Additional investments) long team liabilities ale Dr. 89, 500 (long term debt paid). ble elde