Unrealized Gains on the Investment Portfolio of a Not-For-Profit Organization

question 10

Multiple Choice

Unrealized gains on the investment portfolio of a not-for-profit organization are

• A)Not recognized.
• B)Reported in the net asset section of the balance sheet.
• C)Depends on whether the gains relate to trading,available-for-sale,or held-to-maturity assets.
• D)Reported on the statement of activities.

---

Definitions:

Price Stability

The economic condition in which prices in the economy do not change significantly in either direction and remain relatively stable.

Government Transfer Program

Programs through which governments redistribute income, typically from taxpayers to individuals in need, such as welfare, social security, and unemployment benefits.

Unemployment Compensation

Financial payments made to individuals who have lost their jobs until they find new employment, provided by the government or insurance programs.

Social Security

A government program designed to provide financial assistance to retirees, disabled individuals, and survivors of deceased workers.