Note: This Is a Kaplan CPA Review Question

question 2

Multiple Choice

Note: This is a Kaplan CPA Review Question
Fike Hospital, a private, not-for-profit institution, receives an unrestricted gift of common stock with a fair value of $100,000. The donor had paid $40,000 for the stock five years earlier. The gift should be recorded as an

• A) Increase in unrestricted net assets of $40,000.
• B) Increase in temporarily restricted net assets of $100,000.
• C) Increase in temporarily restricted net assets of $40,000.
• D) Increase in unrestricted net assets of $100,000.

---

Definitions:

Medieval Period

A historical era in European history, spanning roughly from the 5th to the late 15th century, characterized by feudalism, the spread of Christianity, and the emergence of the modern nation-states.

Johannes Gutenberg

The inventor of the mechanical movable-type printing press in the 15th century, which played a crucial role in the development of the Renaissance, Reformation, and the Age of Enlightenment.

Printers

Machines or devices used to reproduce text and images from a template, playing a crucial role in mass communication and dissemination of information.

Ottoman Empire

A vast, multi-ethnic empire founded in the late 13th century by Osman I, which at its peak spanned Southeast Europe, Western Asia, and North Africa before its dissolution after World War I.