Under the Deferral Method, How Should Contributions Received in the Current

question 50

Multiple Choice

Under the deferral method, how should contributions received in the current year but restricted for operating expenses for one or more future periods be reported in the current year?

• A)As revenue in the statement of operations.
• B)As a direct increase to net assets.
• C)As deferred revenue on the balance sheet.
• D)As a reduction of operating expenses on the statement of operations.

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Definitions:

Primary Reinforcers

Innate reinforcing qualities such as food, drink, and pleasure, which do not require learning to become effective in shaping behavior.

Contingent Reinforcement

A method where the provision of rewards or consequences is directly dependent on the display of specific behaviors.

Reinforcer

Any stimulus that strengthens or increases the probability of a specific response or behavior by being presented after that response or behavior.

Reinforcer

Any stimulus that strengthens or increases the probability of a specific response or behavior by the means of positive or negative reinforcement.