Baseball for All (BFA)is a Non-Profit Organization That Runs Baseball

question 22

Essay

Baseball for All (BFA)is a non-profit organization that runs baseball tournaments and clinics for all ages.It also buys equipment that is needed at the tournaments.It receives government funding from the municipality and tournament and clinic fees that are paid by participants.Generally,annual revenues have been $350,000.This year,BFA received a special grant of $150,000 to buy new equipment.Equipment in the amount of $180,000 was purchased.The equipment is expected to last 5 years.
Required:
Discuss the various methods that BFA can use to record the purchase of the equipment allowed under Canadian GAAP and prepare the appropriate journal entries.As part of your explanation,explain the differences between the expenditure basis and expense basis of reporting.

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Definitions:

Catherine Beecher

An American educator known for her forthright opinions on women’s education as well as her staunch support of the inclusion of kindergarten into children’s education.

Grimké Sisters

Sarah and Angelina Grimké, 19th-century American advocates for abolitionism and women's rights.

Abolition Movement

A historical campaign, especially in the 18th and 19th centuries, aimed at ending the practice of slavery and the slave trade.

Abolitionists

Individuals who advocated for the immediate end of slavery and the emancipation of slaves in the 18th and 19th centuries.