Private university, various transactions, statement of activities. The following events occurred as part of the operations of Kronke Private University for the year 2018 (all amounts are in 000’s): a....

Private university, various transactions, statement of activities. The following events occurred as part of the operations of Kronke Private University for the year 2018 (all amounts are in 000’s):

a. To construct a new business building, the university floated at par a $20,000,000, 8% serial bond issued on July 1. Interest is to be paid on December 31 and June 30. In addition, contributions from the community specifically for the new building totaled $5,000,000.

b. Payments for construction to date total $7,000,000.

c. Interest payments are made on December 31.