How Would a Private College or University Report Its Estimate

question 22

Multiple Choice

How would a private college or university report its estimate for uncollectible tuition and fees on its statement of activities?

• A) A contra-revenue account titled Provision for Doubtful Accounts.
• B) A direct reduction of Tuition and Fees-Unrestricted.
• C) An operating expense titled Provision for Doubtful Accounts.
• D) An operating expense titled Bad Debt Expense.

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Definitions:

Routine Inquiry

A standard or regular question posed to obtain information or clarification on a specific matter.

Recommended Plan

A suggested course of action or strategy devised for a specific purpose or goal.

Internal Operational Messages

Communications within an organization that relate to its routine activities and functions.

Types

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