[Anonymous]

Thanks Ymmit for the answer, but I have additional question regarding the JE but I cannot find the reply button anywhere on the original posting page. My additional question is: if fair value change is recognized, what’s the JE? For people who didn’t see the previous post, please refer to the question as below. thanks.

Dear all, please help with a question about fair value treatment in non-profit accounting.

If someone donates an artwork to a museum （FV 1million), after one year, the FV decreased to 0.9million.

Per my understanding, when the donation is made, the museum should record the asset in fair value：

Debit: Asset 1million

Credit: Contribution-support 1million

Does the museum do anything to recognize the fair value decrease? I remember per Becker review, donations should be recorded at fair value, however, there is no specific clauses on how to deal with the fair value change.