Response to the following problem:
Review the information on non-profit educational institutions that you collect. To the extent possible, determine how each institution defines "operating income." Evaluate the issues related to reporting operating income.
The following Websites may be helpful:
GASB
FASB
National Association of College and University Business Officers
Prepare a document that answers the following questions.
What are the issues related to reporting operating income? Consider:
Contributions and bequests
Gifts
Investment gains and losses
Change in value of split interest agreements
Tuition revenue
Scholarships
Why might different types of educational institutions report operating income differently? Which accounting standards apply? Consider:
FASB requirements
GASB requirements
NACUBO guidelines
This part of your project should be 1/2-1 page in length.