Lakeview School District, a Governmental Entity, Received 10 Computers from Computer

question 29

Multiple Choice

Lakeview School District, a governmental entity, received 10 computers from Computer Hut, a local computer firm.The computers were a donation to the District by Computer Hut.The cost to Computer Hut for each computer is $2,500.The retail value of each computer is $3,000.Assuming that the District maintains its books and records in a manner that facilitates the preparation of the fund financial statements, what is the appropriate entry in the General Fund to record this donation?

• A)Debit Computer equipment $25,000; Credit Donation revenue $25,000.
• B)Debit Computer equipment $30,000; Credit Other financing sources-donation $30,000.
• C)Debit Computer equipment $30,000; Credit Donation revenue $30,000.
• D)No entry is required.The computers are not financial resources.

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Definitions:

Legal Protection

Measures and regulations established by law to safeguard individuals, businesses, and their intellectual properties against infringement and harm.

Original Innovators

Original Innovators are individuals or organizations that first develop a new product, process, or technology, paving the way for future developments and innovations.

Exclusive Right

A legal provision granting someone the sole authority to sell, produce, or use a particular product or service.

Product Name

The title given to a merchandise or service to distinguish it from other offerings.