With Respect to the Statement of Cash Flows for a Not-For-Profit

question 29

True/False

With respect to the Statement of Cash Flows for a not-for-profit organization, donor restricted cash that must be used for long term purposes is classified as cash flows from financing activities.

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Definitions:

Binding Authority

Legal sources that a court must follow in making its decision, such as statutes or higher court rulings relevant to the case at hand.

Persuasive Authority

Legal sources that, while not binding, may influence a court’s decision in the absence of binding authority, including legal principles from other jurisdictions or academic commentary.

Michigan Supreme Court

The highest court in the state of Michigan, responsible for interpreting Michigan laws and overseeing the state’s judiciary.

California Trial Courts

The general jurisdiction courts in the state of California that handle both civil and criminal cases at the first level of the court system.