Which of the following is true with respect to the General Fund

a. The General Fund is considered to be a major fund only if the total of assets, liabilities, revenues or expenditures exceeds 10% of the total of all governmental funds.

b. The General Fund is considered to be a major fund when preparing fund basis financial statements only if the total assets, liabilities, revenues, or expenditures of that individual governmental or enterprise fund are 5% of the total of the governmental and enterprise categories, combined.

c. Both A and B are required.

d. The General Fund is always considered a major fund.

Question

Business

Preston Townsend

25 December, 16:49

Which of the following is true with respect to the General Fund

a. The General Fund is considered to be a major fund only if the total of assets, liabilities, revenues or expenditures exceeds 10% of the total of all governmental funds.

b. The General Fund is considered to be a major fund when preparing fund basis financial statements only if the total assets, liabilities, revenues, or expenditures of that individual governmental or enterprise fund are 5% of the total of the governmental and enterprise categories, combined.

c. Both A and B are required.

d. The General Fund is always considered a major fund.

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Answers (1)

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Jaiden · Answer 1

Option "D" is the correct answer to the following statement.

Explanation:

The General Fund has always been called a large reserve.

A general fund is a principal asset, that has been utilized by government authorities. The reserve is used for tracking both capital inflows and outflows, which is not related to special-purpose programs.

The main function of these funds is to paid government administrative and other operating tasks.