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Question: question text accounting for contributions with donor restrictions on january...

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Accounting for contributions with donor restrictions

On January 1, 2019, a member of a nonprofit hospital’s board of directors passed away. His will provided a $35,000 contribution to the hospital to upgrade the skills of its nurses. During January, the hospital spent $15,000 to train the nurses. Prepare journal entries to record the transactions.

Description Debit Credit

To record receipt of the donation

To record reclassification of net assets.

To record payment for training costs.

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