REQ – NFP – treatment of tution and scholarship – clarification

  • Creator
    Topic
  • #189022
    Mike J
    Participant

    Something confused me toward the end of Jeff’s NINJA Blitz on NFP,

    He said that Scholarships are a reduction of revenue and netted against Tuition. However, I thought tuition and fees are shown net of scholarships. Or, is tuition shown at the gross amount, net of class cancellations?

    Maybe I’m getting a little punchy from studying, but this is making me feel like I’m trying to fill-out a line-up with Abbott. https://www.youtube.com/watch?v=kTcRRaXV-fg But I digress.

    I would greatly appreciate clarification on BOTH how to deal with scholarships and tuition.

    Thanks.

    AUD - 90
    BEC - 79
    FAR - 77
    REG - 77
    They don't trust JUST ANYBODY to count beans
Viewing 2 replies - 1 through 2 (of 2 total)
  • Author
    Replies
  • #618475
    Peterman25
    Participant

    This is straight from my Roger FAR book

    Tuition and scholarships are revenue – if you go to the school it is a revenue.

    and then provides this JE example

    DR cash 12,000

    DR scholarship expense 10,000

    DR tuition remission 8,000

    CR tuition revenue 30,000

    BEC 7/14 - PASS
    FAR 10/14 - PASS
    AUD 1/15 - PASS
    REG 4/15 - PASS

    AZ license - Official 8/20/2015

    #618476
    Mike J
    Participant

    Sorry I didn't get back to you earlier. This makes sense. Although, if you work for the school it isn't a contra revenue account but compensation expense.

    AUD - 90
    BEC - 79
    FAR - 77
    REG - 77
    They don't trust JUST ANYBODY to count beans
Viewing 2 replies - 1 through 2 (of 2 total)
  • You must be logged in to reply to this topic.