The Increase in Unrestricted Net Assets in 2013 as a Result

question 9

Multiple Choice

The increase in unrestricted net assets in 2013 as a result of the fund-raising drive is

• A)$1,200,000.
• B)$1,050,000.
• C)$800,000.
• D)$250,000.

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Definitions:

Declining-Balance Depreciation

A method of accelerated depreciation where an asset loses value by a fixed rate, resulting in larger depreciation charges in the earlier years and smaller charges in the later years.

Depreciation Expense

The allocation of the cost of a tangible asset over its useful life, representing how much of an asset's value has been used up over a period.

Depreciation Rate

The percentage rate at which an asset is depreciated across its useful life, impacting how much of its cost is allocated as an expense each year.

Accelerated Depreciation

A method of depreciation in which an asset loses book value at a faster rate than the traditional straight-line method.