_____ Under FAS 116, contributed collection items
A) Must be recognized in the financial statements.
B) Cannot be recognized in the financial statements.
C) Must be recognized in the financial statements if certain conditions are satisfied.
D) Need not be recognized in the financial statements if certain conditions are satisfied.
E) None of the above.

Question

_____	Under FAS 116, contributed collection items
A) Must be recognized in the financial statements.
B) Cannot be recognized in the financial statements.
C) Must be recognized in the financial statements if certain conditions are satisfied.
D) Need not be recognized in the financial statements if certain conditions are satisfied.
E) None of the above.

Quizplus · Accepted Answer

Under FAS 116 (Accounting for Contributions Received and Contributions Made), contributed collection items need not be recognized in the financial statements if they are added to collections and meet certain conditions such as being preserved, protected, and cared for, and used for public exhibition, education, or research in furtherance of public service rather than financial gain.

_____ Under FAS 116, Contributed Collection Items