financial statements
Unrestricted
Temporarily
Restricted
Permanently
Restricted
Total
Revenues
Student Tuition and Fees 1,508,000$ 1,508,000$
State Appropriations 700,000 700,000
Contributions to Endowment 105,700$ 105,700
Federal Grants 175,000$ 175,000
Investment Income 66,000 66,000
Net assets released from restriction: –
Satisfaction of program restrictions 166,000 (166,000) –
Total Revenues and Other Support 2,440,000 9,000 105,700 2,554,700
Operating Expenses
Instruction 659,000 659,000
Research 275,000 275,000
Institutional Support 167,000 167,000
Student Services 705,000 705,000
Depreciation 525,000 525,000
Total Operating Expenses 2,331,000 – – 2,331,000
Change in net assets from operations 109,000 9,000 105,700 223,700
Other changes (expenses)
Interest Expense (19,200) (19,200)
Total nonoperating revenue (expense) (19,200) – – (19,200)
Change in Net Assets 89,800 9,000 105,700 204,500
Net Assets- Beginning of Year 2,230,000 37,000 2,500,000 4,767,000
Net Assets – End of Year 2,319,800$ 46,000$ 2,605,700$ 4,971,500$
Revenues
Tuition and Fees 1,508,000$
Contributions to Endowment
Federal Grants 175,000
Total Revenues 1,683,000
Operating Expenses
Instruction 659,000
Research 275,000
Institutional Support 167,000
Student Services 705,000
Depreciation 525,000
Total Operaing Expenses 2,331,000
Operating Income (loss) (648,000)
Nonoperating income (expenses)
State appropriations 700,000
Investment Income 66,000
Additions to permanent endowments 105,700
Public College
Statement of Revenues Expenses and Changes in Net Position
For the year ended 12-31-2015
Statement of Activities
For the year ended 12-31-2015
Private College
financial statements
Interest Expense (19,200)
Total nonoperating revenue 852,500
Change in Net Position 204,500
Net Position- Beginning of Year 4,767,000
Net Position – End of Year 4,971,500$
Post-closing Trial Balances
Cash General Ledger
Cash received from students 1,551,000$ Cash received from students 1,551,000$
Cash receive from state appropriations 700,000 Cash received from federal grants 175,000
Cash received on investments 66,000 Cash paid to employees (1,200,000)
Cash received from federal grants 175,000 Cash paid to suppliers (597,300)
Cash paid to employees (1,200,000)
Cash paid to suppliers (597,300) Net cash provided by operating activities (71,300)
Cash paid for interest (19,700)
Net cash provided by operating activities 675,000 Cash receive from state appropriations 700,000
Contributions for endowment 105,700
Contributions for endowment 105,700 Net cash provided by noncapital financing activities 805,700
Payment of principal on long-term debt (93,000)
Net cash provided by l financing activities 12,700 Acquisition of capital assets (292,000)
Principal paid on long-term debt (93,000)
CASH FLOWS FROM INVESTING ACTIVITIES Interest paid on long-term debt (19,700)
Purchase of endowment investments (100,000)
Purchases of equipment (292,000) Net cash provided from capital and related financing activities (404,700)
Net cash provided from investing activities (392,000) CASH FLOWS FROM INVESTING ACTIVITIES
Purchase of endowment investments (100,000)
Increase in cash 295,700 Cash received on investments 66,000
Cash and cash equivalents beginning of year 850,000
Cash and cash equivalents end of year 1,145,700$ Net cash provided from investing activities (34,000)
RECONCILATION OF CHANGE IN NET ASSETS Increase in cash 295,700
Cash and cash equivalents beginning of year 850,000
Change in Net Assets 204,500$ Cash and cash equivalents end of year 1,145,700$
Depreciation expense 525,000
Decrease in student accounts receivable 43,000 RECONCILATION OF OPERATING INCOME (LOSS) TO
Increase in accounts payable 8,700
Decrease in interest payable (500) Operating Income (648,000)$
Contributions to permanently restricted endowments (105,700) Depreciation expense 525,000
Decrease in student accounts receivable 43,000
Increase in accounts payable 8,700
Net cash provided by operating activities 675,000$
Net cash provided by operating activities (71,300)$
for the year ended 12-31-2015
CASH FLOWS FROM OPERATING ACTIVITIES
CASH FLOWS FROM FINANCING ACTIVITIES
NET CASH PROVIDED BY OPERATING ACTIVITIES
NET CASH PROVIDED BY OPERATING ACTIVITIES
Public College
Statement of Cash Flows
for the year ended 12-31-2015
CASH FLOWS FROM OPERATING ACTIVITIES
CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES
CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES
Private College
Statement of Cash Flows
Exercise 11-9 General Ledger
Journal Entries debits credits CASH ALLOWANCE FOR
bb 350,000 ACCOUNTS RECEIVABLE UNCOLLECTABLE ACCOUNTS INTEREST RECEIVABLE CONTRIBUTIONS RECEIVABLE
1 Cash 6,416,000 1 6,416,000 280,000 2 bb 1,618,000 85,000 bb bb 49,000 bb 5,425,000
Accounts Receivable 1,227,000 3 33,690,000 39,200,000 7 3 3,500,000 1,227,000 1 6 50,000 175,000 6 3 50,000 49,000 1 5 5,280,000 3,085,000 1
Accrued Interest Receivable 49,000 5 7,020,000 3,100,000 10 2,700,000 4 9 10,000 1,900,000 1
Contributions Receivable – other 3,085,000 9 55,000 4,170,000 13 50,000 6 20,000 6
Contributions Receivable – pp&eq 1,900,000 12 1,770,000 2,000,000 14
Loans to Students and Faculty 155,000
2 Accounts Payable 130,000 551,000 1,141,000 210,000 60,000 5,700,000
Long-Term Debt: Current Installment 150,000
Cash 280,000 ALLOWANCE FOR LOANS TO STUDENTS LONG-TERM PROPERTY PLANT
UNCOLLECTABLE CONTRIBUTIONS AND FACULTY INVESTMENTS & EQUIPMENT
3 Cash 33,690,000 520,000 bb bb 350,000 bb 15,500,000 bb 15,450,000
Accounts Receivable 3,500,000 6 20,000 30,000 6 13 200,000 155,000 1 13 3,970,000 1,700,000 12 10 1,400,000
Accrued Interest Receivable 50,000 14 2,000,000
Revenues-Unrestricted-Tuition and Fees 21,740,000 15 530,000
Revenues-Unrestricted-Unrestricted Income 530,000 395,000 20,300,000 16,850,000
on Endowment Investments 400,000
Revenues-Unrestricted-Other Investment Income 300,000 ACCUMULATED CURRENT PORTION NONCURRENT
Revenues-Unrestricted-Sales and Services of DEPRECIATION ACCOUNTS PAYABLE LONG-TERM DEBT LONG-TERM DEBT
Auxiliary Enterprises 14,800,000 7,500,000 bb 130,000 bb 150,000 bb 8,500,000 bb
2,100,000 8 2 130,000 600,000 7 2 150,000 150,000 16 16 150,000
4 Tuition Discount-Unrestricted-Student Aid 2,700,000 9,600,000 600,000 150,000 8,350,000
Accounts receivable 2,700,000
5 Cash 7,020,000 RESTRICTED NET ASSETS RESTRICTED NET ASSETS BOARD DESIGNATED UNDESIGNATED TUITION DISCOUNTS
Contributions Receivable 5,280,000 10,087,000 bb 5,555,000 bb 2,815,000 bb 3,400,000 bb 4 2,700,000
6 Allowance for Uncollectible Accounts 50,000 UNRESTRICTED REVENUES RESTRICTED REVENUES
Allowance for Uncollectible Contributions 20,000 6 175,000 21,740,000 3 -Tuition and fees 5,400,000 5 -Contributions
Revenues-Unrestricted-Tuition and Fees 175,000 6 30,000 4,900,000 5 -Contributions Instruction- 7 18,460,000
PERMANENTLY RESTRICTED PERMANENTLY RESTRICTED
7 Instruction Expense 18,460,000 GAINS ON LT INVESTMENTS CONTRIBUTION REVENUE FLOOD LOSS Public service- 7 1,910,000
Research Expense 1,980,000 30,000 12 2,000,000 5 7 600,000
Public Service Expense 1,910,000 200,000 15 35,000 9 Academic support- 7 990,000
Academic Support Expense 990,000 230,000 2,035,000 600,000
Student Services Expense 1,310,000 Student services- 7 1,310,000
Institutional Support Expense 1,050,000 RECLASSIFICATION TO RECLASSIFICATION FROM
Auxiliary Enterprise Expense 13,500,000 UNRESTRICTED NET ASSETS TEMP. RESTRICTED NET ASSETS Instutional support- 7 1,050,000
Flood Loss 600,000 1,600,000 11 11 1,600,000 8 700,000
4,700,000 4,700,000 43,000,000
8 Instruction Expense 700,000
Institutional Support Expense 700,000
Auxiliary Enterprise Expense 700,000
Accumulated Depreciation 2,100,000
9 Cash 55,000
Accrued Interest Receivable 10,000
Property, Plant, and Equipment 1,400,000
Cash 3,100,000
– Expiration of Time Restrictions 1,600,000
– Satisfaction of PP&Eq Acquisition 1,400,000
Exercise 11-9 General Ledger
Gain on Long-Term Investments-Permanently Restricted 30,000
13 Long-Term Investments 3,970,000
Loans to Students and Faculty 200,000
Cash 4,170,000
14 Long-Term Investments 2,000,000
Cash 2,000,000
Net Assets-Unrestricted-Undesignated 2,000,000
Net Assets-Unrestricted-Board designated 2,000,000
15 Long-Term Investments 530,000
Gain on Long-Term Investments-Unrestricted 300,000
Gain on Long-Term Investments-Temporarily Restricted 30,000
Gain on Long-Term Investments-Permanently Restricted 200,000
16 Long-term debt non-current portion 150,000
Long-term debt -current portion 150,000
119,596,000 119,446,000
CLOSING ENTRIES debits credits
Unrestricted
Revenues-Unrestricted-Tuition and Fees 21,565,000
Revenues-Unrestricted-Unrestricted Income on Endowments 400,000
Revenues-Unrestricted-Other Investment Income 300,000
Revenues-Unrestricted-Sales and Services of Auxilliary Enterprises
14,800,000
Revenues-Unrestricted-Contributions 4,870,000 4,815,000 Preclosing
Gain on Long-Term Investments 300,000 closing entry
Reclassifications to Unrestricted Net Assets-
Expiration of Time Restrictions 1,600,000
Satisfaction of Program Restrictions 1,700,000 4,815,000
Satisfaction of PP&Eq Acquisition Restrictions 1,400,000
Tuition Discount-Unrestricted-Student Aid 2,700,000
Instruction Expense 19,160,000
Research Expense 3,680,000 1,400,000 Preclosing
Public Service Expense 1,910,000 635,000 closing entry
Academic Support Expense 990,000
Student Services Expense 1,310,000
Institutional Support Expense 1,750,000 2,035,000
Auxiliary Enterprise Expense 14,200,000
Flood Loss 600,000
Net Assets-Unrestricted-Undesignated 635,000
Temporarily Restricted NET ASSETS TEMPORARILY
Revenues-Temporarily Restricted-Contributions 5,400,000 RESTRICTED – SCHOLARSHIPS
Revenues-Temporarily Restricted-Other Investment Income 30,000 5,555,000 Preclosing
Gains on Long-Term Investments-Temporarily Restricted 70,000 800,000 closing entry
Reclassifications from Temporarily Restricted Net Assets-
Expiration of Time Restrictions 1,600,000 6,355,000
Satisfaction of Program Restrictions 1,700,000
Satisfaction of PP&Eq Acquisition Restrictions 1,400,000
Net Assets – Temporarily Restricted 800,000
Permanently Restricted NET ASSETS
BOARD DESIGNATED
UNRESTRICTED NET ASSETS
UNDESIGNATED
UNRESTRICTED NET ASSETS
Revenues-Permanently Restricted-Contributions 2,000,000 PERMANENTLY RESTRICTED
Revenues-Permanently Restricted-Other Investment Income 35,000 10,087,000 Preclosing
Gains on Long-Term Investments 230,000 2,265,000 closing entry
Net Assets-Permanently Restricted 2,265,000
12,352,000
KORNER COLLEGE
STATEMENT OF UNRESTRICTED REVENUES, EXPENSES
AND CHANGES IN UNRESTRICTED NET ASSETS
for the year ended June 30 2015
Unrestricted Revenues:
Net Tuition and Fees $18,865,000
Contributions 400,000
Unrestricted Income on Endowments 300,000
Other Investment Income 14,800,000
Sales and Services of Auxiliary Enterprises 4,870,000
Gain on Long-Term Investments 300,000
Total Revenues 39,535,000
Net Assets Released From Restrictions:
Expiration of Time Restrictions 1,600,000
Satisfaction of Program Restrictions 1,700,000
Satisfaction of Fixed Asset Acquisition Restrictions 1,400,000
Total Net Assets Released From Restrictions 4,700,000
Total Unrestricted Revenues and Other Support 44,235,000
Expenses and Losses:
Educational and General:
Instruction 19,160,000
Research 3,680,000
Public Service 1,910,000
Academic Support 990,000
Student Services 1,310,000
Institutional Support 1,750,000
Total Educational and General Expenses 28,800,000
Auxiliary Enterprises 14,200,000
Total Expenses 43,000,000
Flood Loss 600,000
Total Expenses and Losses 43,600,000
Increase in Unrestricted Net Assets $635,000
KORNER COLLEGE
STATEMENT OF CHANGES IN NET ASSETS
for the year ended June 30 2015
Total Unrestricted Revenues $39,535,000
Net Assets Released From Restrictions 4,700,000
Total Unrestricted Expenses and Losses (43,600,000)
Increase in Unrestricted Net Assets 635,000
Temporarily Restricted Net Assets:
Contributions 5,400,000
Gains on Long-Term Investments 30,000
Other Investment Income 70,000
Net Assets Released From Restrictions (4,700,000)
Increase in Temporarily Restricted Net Assets 800,000
Permanently Restricted Net Assets:
Contributions 2,000,000
Gains on Long-Term Investments 35,000
Investment Income on Endowment 230,000
Increase in Permanently Restricted Net Assets 2,265,000
Increase in Net Assets 3,700,000
Net Assets, July 1, 2014 21,857,000
Net Assets, July 30, 2015 $25,557,000
ASSETS
Cash and Cash Equivalents $ 551,000
Accounts Receivable (Net of Allowance for Doubtful Accounts) 931,000
Accrued Interest Receivable 60,000
Contributions Receivable (Net of Allowance for Uncollectables) 5,170,000
Loans to Students and Faculty 395,000
Long-Term Investments 20,300,000
Property, Plant, and Equipment 16,850,000
Less: Accumulated Depreciation (9,600,000)
Total Assets $ 34,657,000
LIABILITIES AND NET ASSETS
Accounts Payable 600,000
Long-Term Debt: Current Installment 150,000
Long-Term Debt: Noncurrent 8,350,000
Total Liabilities 9,100,000
Net Assets:
Unrestricted – Board Designated 4,815,000
Other Unrestricted 2,035,000
Total Unrestricted 6,850,000
Temporarily Restricted 6,355,000
Permanently Restricted 12,352,000
Total Net Assets 25,557,000
Total Liabilities and Net Assets $ 34,657,000
KORNER COLLEGE
STATEMENT OF FINANCIAL POSITION
AS OF JUNE 30, 2015
KORNER COLLEGE
STATEMENT OF CASH FLOWS
for the year ended June 30 2015
Cash Flows From Operating Activities:
Change in Net Assets $3,700,000
Adjustments to Reconcile Change in Net Assets
to Net Cash Provided by Operating Activities:
Depreciation 2,100,000
Decrease in Accounts Receivable (Net of Allowance) 602,000
Increase in Accrued Interest Receivable (11,000)
Decrease in Contributions Receivable (Net of Allowance) (265,000)
Increase in Accounts Payable 470,000
Gains on Long-Term Investments (600,000)
Contributions Restricted to Investment in Property, Plant and Equipment (1,900,000)
Contributions Restricted to Long-Term Investment in Endowments (2,000,000)
Cash Flows From Operating Activities 2,096,000
Cash Flows From Investing Activities:
Acquisition of Property, Plant and Equipment (1,400,000)
Purchase of Investments (5,970,000)
Sale of Investments 1,770,000
Disbursement of Loans to Students and Faculty (200,000)
Repayment of Loans to Students and Faculty 155,000
Cash Flows From Investing Activities (5,645,000)
Cash Flows From Financing Activities:
Proceeds From Contributions Restricted for:
Investment in Property, Plant, and Equipment 1,900,000
Investment in Endowments 2,000,000
Payments on Long-Term Debt (150,000)
Cash Flows From Financing Activities 3,750,000
Net Increase in Cash and Cash Equivalents 201,000
Cash and Cash Equivalents, July 1, 2014 350,000
Cash and Cash Equivalents, June 30, 2015 $551,000