US Government/Non-profit Accounting

Instructions:

Contributions of

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long-lived assets may affect more than one type of fund.

Discovery Barn, a not-for-proï¬t science center for children, received a contribution of $30,000 explicitly designated for the acquisition of computers. During the year it acquired $21,000 of computers, which it estimated to have a useful life of three years. It is the policy of the organization to charge an entire yearâs depreciation in the year of acquisition.

Prepare all required journal entries, being certain to indicate the type of fund in which each entry would be made.

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