Special Issues

Question 1

How is acquisition “Inexhaustible” Fixed Assets recorded?

Answer 1

-Disclosed in notes, not recorded

Question 2

What are the three requirements for “Inexhaustible” Fixed Assets to meet collectibles/collections criteria?

Answer 2

• Held for exhibition, education, or research rather than financial gain
• Protected, cared for, and preserved
• Requires sales proceeds be used to collect other collectibles

Question 3

How are marketable securities reported for NFPs?

Answer 3

-At fair value

Question 4

What are Quasi Endowments and how are they reported?

Answer 4

• Amounts set aside by governing board of which principal must be retained and invested
• Included with Unrestricted Net Assets

Question 5

Where are earnings on Endowments reported?

Answer 5

-In any of three Restriction Classifications