What Accounts Appear in the Equity Section of the Balance

question 71

Essay

What accounts appear in the equity section of the balance sheet for a college, assuming the college is:
A Public - government owned
B Private not-for-profit
C For Profit - Investor owned business
A. Net Assets: Unrestricted, Restricted, Invested in capital assets net of related debt.
B. Unrestricted, Temporarily Restricted, Permanently Restricted Net Assets
C. Paid in capital, Retained earnings

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Definitions:

Subchapter S

A section of the Internal Revenue Code allowing corporations with 100 shareholders or less to be taxed as a partnership, avoiding double taxation.

Internal Revenue Code

The comprehensive set of tax laws and regulations in the United States governing federal tax obligations.

Tax Status

Refers to the classification of an entity or individual for tax purposes, based on criteria like income, employment, or ownership structure, affecting tax responsibilities.

Declaring Dividends

The action by a company's board of directors to distribute profits to shareholders in proportion to the amount of shares they own.