Public university, various transactions, statement of current funds revenues, expenses, and other changes. A partial balance sheet of Tree State University, a public university, as of the end of its fiscal year, July 31, 2018, is as follows:
The following information pertains to the year ended July 31, 2019:
a. Cash collected from students’ tuition totaled $3,000,000. Of this amount, $362,000 represented accounts receivable outstanding at July 31, 2018; $2,500,000 was for current-year tuition; and $138,000 was for tuition applicable to the semester beginning in August 2019.
b. Prepaid tuition at July 31, 2018, were earned during the year ended July 31, 2019.