Author Question: An Enterprise Fund is donating a capital asset with a net book value of 25,000 to a general ... (Read 67 times)

savannahhooper · **on:** Jul 5, 2018

An Enterprise Fund is donating a capital asset with a net book value of 25,000 to a general government department. The entry that should be recorded for the Enterprise Fund would be

A. A debit to nonoperating expense and a credit to capital assets.
B. A debit to transfer out and a credit to capital assets.
C. A debit to capital contribution and a credit to capital assets.
D. A debit to other financing use and a credit to capital assets.

Question 2

A company receives 6,500 for two season tickets sold on September 1 . If 2,500 is earned by December 31, the adjusting entry made at that time is a debit to Cash, 2,500, and a credit to Ticket Revenue, 2,500.
a. True
b. False

Indicate whether the statement is true or false