Gvernmental fund financial statements donation


5) A government is the recipient of a bequest of a multi-story office building that the government intends to use as a City Hall. The building has a historical cost of $850,000; a book value in the hands of the benefactor of $700,000; and a fair value of $1,050,000. The city should recognize on its governmental fund financial statements donation revenue of

a) $0
b) $700,000
c) $850,000
d) $1,050,000

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Accounting Basics: Gvernmental fund financial statements donation
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