During the Year, a Not-For-Profit Entity Received $30,000 in Dividends

question 40

Multiple Choice

During the year, a not-for-profit entity received $30,000 in dividends and $24,000 in interest on its investment portfolio.The entity also accrued $6,000 in interest on the portfolio.The increase in fair value of the portfolio during the year was $8,000.How much should the entity report for investment earnings during the year?

• A)$62,000.
• B)$54,000.
• C)$8,000.
• D)$0.

---

Definitions:

Central Florida

A region in the U.S. state of Florida, typically considered to include the central part of the state, known for its tourism industry and attractions such as theme parks.

Real Estate

Property consisting of land and the buildings on it, along with its natural resources such as crops, minerals, or water.

Implicit Cost

Costs that represent the loss of potential income from using resources for one purpose instead of their next best alternative use.

Capital

Financial assets or physical goods that have value and are used in the production of other goods and services, such as machinery, buildings, or money.