1) Luke Skywalker College has chosen to report as a public university reporting
ID: 2462330 • Letter: 1
Question
1) Luke Skywalker College has chosen to report as a public university reporting as a special-purpose entity engaged. Deferred Revenues were reported as of July 1, 2014 in the amount of $5,000,000. Record the following transactions related to revenue recognition for the year ended June 30, 2015. Include in the account titles the proper revenue classification (operating revenues, nonoperating revenues, etc.).
I need answer for question I and J
I)Prepare the closing entries for each of the net position classes. You should use all the nominal accounts.
J)What is the net change in Restricted Cash and Cash Equivalents. Enter the answer as follows ($xx,xxx,xxx)
Explanation / Answer
Answer:
1. Deferred Revenues A/C Dr. $ 5,000,000
To Operating Revenues-Student Tuition and Fees A/C $ 5,000,000
2. Accounts Receivable A/C dr. $78,000,000
To Operating Revenues-Student Tuition and Fees A/C $78,000,000
Cash A/C Dr. $71,000,000
To Accounts Receivable A/C $71,000,71,000,000
Operating Revenues-Student Tuition and Fees A/C Dr. $ 3,300,000
To Deferred Revenues $ 3,300,000
3. Operating Revenue Deduction-Scholarship Allowances A/C Dr. $ 2,200,000
To Accounts Receivable $2,200,000
4. Scholarships and Fellowships Expense $ 3,500,000
To Accounts Receivable 3,500,000
5. Cash 8,500,000
To Operating Revenues-Auxiliary Enterprise Revenue 8,500,000
6. Cash 35,000,000
To Nonoperating Revenues-State Appropriation for Operations 35,000,000
7. Restricted Cash 12,900,000
To Capital Appropriations 12,900,000
(reported after nonoperating revenues and expenses)
8. Cash A/c Dr. $ 12,720,000
To Additions to Endowment Purposes 5,000,000
(reported after nonoperating revenues and expenses) 7,000,000
To Nonoperating Revenues-Unrestricted Gifts
To Nonoperating Revenues-Investment Income- Unrestricted 720,000
Answer: Restricted cash=$12900,000
Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.