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Nassau County Animal Shelter, Inc. (NCAS) solicits donations to provide shelter and counseling to abused children and adults. It also provides neutering and spaying services and micro chipping services to both dogs and cats which are adopted from the shelter as well as the community for very reduced prices. NCAS does not use fund accounting.

Prepare journal entries to record the following transactions:

a. NCAS receives cash contributions of $150,000 and unconditional promises to give of $100,000 (with 90% expected to be collected based on past experience), both of which may be used for any purpose approved by the trustees.

b. NCAS receives the following contributions in cash, each for certain specific purposes:

(1) $50,000, which must be used only for sheltering animals; another $7,000 must be used for the care of abused animals.

(2) $100,000, the principal of which (and all investment gains or losses) must be held in perpetuity; and the income must be used only for maintaining the shelter; and

(3) $18,000, which must be used (together with any income its investment generates) for the costs or microchipping and providing neutering and spaying services.

c. NCAS invests the $100,000 contribution from transaction b(2) in equity securities.

d. NCAS collects $87,000 in cash from the pledges made in transaction a. and writes off the remaining $13,000 of pledges as uncollectible.

e. NCAS spends $15,000 in cash on microchipping and providing neutering and spaying services.

f. NCAS spends $20,000 of the donation received in b(1) for sheltering animals and $5,000 for the care of abused animals.

g. At year-end, the $100,000 investment in transaction c. has a fair value of $104,000.

h. E. Falk, a veterinarian, donates 20 days of her time in providing microchipping and neutering and spaying services under an NCAS program. Had she not donated time, NCAS would have spent $800 a day for these services.

i. K. Schermann sends NCAS a letter, stating that he will make a cash donation next year of $25,000, provided NCAS raises at least $50,000 in next-year's fundraising campaign.

j. B. Shaw sends NCAS $5,000, stipulating that it must be used for next year's programs.

k. Dividends of $2,000 are received on the investments in transaction c. [See also b(2).]

l. NCAS receives $22,000 in adoption fees and $12,000 for microchipping and providing neutering and spaying services. The Board of directors decides to restrict $10,000 of these funds to maintain the medical equipment at the shelter.

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