Assume that The Sandy Creek Nature Center, a private not-for-profit organization, started the fiscal year ending December 31, 2015 with $59,380 in temporarily restricted net assets

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Assume that The Sandy Creek Nature Center, a private not-for-profit organization, started the fiscal year ending December 31, 2015 with $59,380 in temporarily restricted net assets. The amounts are restricted for the following: • restricted for educational programs relating to preservation of wetlands $16,000. • restricted for future equipment purchases $18,000 (Fixed assets are recorded as unrestricted when acquired) and • a promise to provide $5,000 each of the next six years for general support. Assume the pledge was made on December 31, 2014 and the present value of six (January 1) payments discounted at 5 percent is $25,378. During the fiscal year ended December 31, 2015, the following transactions occur:

(a) The first $5,000 installment on the pledge receivable was received.

(b) Expenses related to educational programs on conservation of wetlands were incurred and paid in the amount of $19,900.

(c) The $18,000 received in a prior year for equipment, together with an additional $25,500 was used to acquire equipment.

(d) Interest of 5% is recorded on the remaining balance of the pledge receivable. Required: Prepare the journal entries necessary for the above transactions: