Transactions unique to governmental and not-for-profit entities

Analyze transactions unique to governmental and not-for-profit entities to determine potential outcomes

Five donors have pledged $1 million each over the next 4 years to Lucky Duck University. With this in mind, answer the following questions:

At what point should these pledges be recognized as revenue?
How should the revenue be valued?
How should these pledges be reported as change in net assets, and in which net assets class should they be reported?

Sample Solution

ACED ESSAYS