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The following information was taken from the accounts and records of the Helping Hands Foundation, a private, not-for-profit organization classified as a VHWO. All balances are as of June 30, 2014, unless otherwise noted.
The unrestricted support from contributions was received in cash during the year. The expenses included $1,350,000 paid from temporarily-restricted cash donations.
Required:
Prepare Helping Hands' Statement of Activities for the fiscal year ended June 30, 2014.
Right of Contribution
The right that allows a party who has paid more than their share of a joint obligation to recover the excess paid from other parties responsible for the obligation.
Cosureties
Parties who jointly agree to share the responsibility for someone else's obligation, typically in a surety bond or loan guarantee.
Surety
A person or entity that takes responsibility for another's performance of an undertaking, such as fulfilling a contract or making a payment.
Conditional Guarantors
Parties that agree to fulfill the obligations of a defaulting party under certain conditions specified in the agreement.
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