Wiley GAAP 2008

Definition of Terms

Agent	An entity that acts for and on behalf of another. For example, a not‐for‐profit organization acts as an agent for and on behalf of a donor if it receives resources from the donor and agrees to transfer the resources or the return generated by investing those resources to another entity named by the donor. Similarly, a not‐for‐profit organization acts for and on behalf of a beneficiary if it agrees to solicit contributions in the name of the beneficiary and distribute any contributions thereby received to the beneficiary.
Collections	Works of art, historical treasures, or similar assets that meet the following three criteria: (1) they are held for public exhibition, education, or research in service to the public rather than for financial gain; (2) they are protected, kept unencumbered, cared for, and preserved; and (3) they are subject to a policy requiring that the organization use the proceeds from the sale of an item to acquire another item for the collection.
Contribution	A voluntary and unconditional transfer of assets to an entity (the donee) from another entity that does not expect to receive equivalent value in exchange and does not act as an owner (the donor). A contribution can also take the form of a settlement or cancellation of the donee's liabilities.
Donor‐imposed restriction	A donor stipulation that specifies a use for contributed resources that is narrower than the limitations that result from the nature of the organization, the environment in ...