In Not-For-Profit Accounting,under What Circumstances Does a Reclassification Occur

question 8

Multiple Choice

In not-for-profit accounting,under what circumstances does a reclassification occur?

• A)Temporarily restricted net assets are released from time or purpose restrictions.
• B)Unrestricted net assets are reclassified to temporarily restricted net assets.
• C)Resources of the current unrestricted fund are transferred to the land,building and equipment fund.
• D)A pledge previously classified as a "conditional promise" becomes "unconditional."

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Definitions:

Recession

A period of declining real GDP, accompanied by lower real income and higher unemployment.

Demand

The quantity of a good or service that consumers are willing and able to purchase at various prices over a given period of time.

Income Elasticity

A measurement of how the demand for a good or service changes in response to changes in consumers' income levels.

Recession

A period of economic decline across an economy lasting more than a few months, typically visible in real GDP, real income, employment, industrial production, and wholesale-retail sales.