Union Seminary Uses the Fund Basis of Accounting for Internal

question 66

Essay

Union Seminary uses the fund basis of accounting for internal record keeping. Presented below is the fully adjusted 12/31/2015 balance sheet for Union,prepared using funds and account groups.The following are fund descriptions:
•Operating Fund - the fund used for transactions not falling within the definition of other funds. There are no restrictions on these resources.
•Memorial Fund - Used to account for resources donated from outside parties for specific capital additions
•Endowment Fund - Assets received from an outside donor for permanent investment,only the earnings may be expended.
•Scholarship Fund - Cash set aside by the Seminary's governing board for use as scholarships and student aid.
•Fixed Assets Account Group - A record of the Seminary's fixed assets and long-term debt.
Required:
Prepare a Statement of Financial Position following the guidelines provided in FASB Statements 116 and 117 for private not-for-profits and assuming Union does not classify plant assets as temporarily restricted.

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Definitions:

CML

Critical Material List - a document specifying all materials essential for a manufacturing process, including their standards, grades, and quantities.

Minimum Amount of Material

A concept in manufacturing and design that aims to utilize the least amount of material necessary for functionality, reducing waste and cost.

Symbol

A visual representation or sign that stands for its object by convention, association, or resemblance, commonly used in technical diagrams to represent standard components or functions.

Positional Tolerance

A dimension in technical drawings that specifies the allowable deviation from the exact position of a feature without affecting assembly or function.