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  3. forever young (fy) is a not-for-profit organizatio

Forever Young (FY) is a not-for-profit organization. During Year 2, it received $2,000,000 cash from...

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Accounting

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Forever Young (FY) is a not-for-profit organization. During Year 2, it received $2,000,000 cash from a donor. However, the donor restricted the fund usage. FY can only invest the donation and the interest generated will be can use for operational purposes. FY invested the $2,000,000 into Guaranteed Income Certificate (GIC). Assuming the deferral method is used, which of the entry will be recorded by FY? a. Cr. investment in GIC of $2,000,000 b. Cr, Investment income of $2,000,000 c. Cr. Deferred Contribution of $2,000,000 d. Cr. Net asset of $2,000,000

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