A Proprietary Fund of a Governmental Entity Has Donor-Restricted Assets

Multiple Choice

A proprietary fund of a governmental entity has donor-restricted assets on its balance sheet.Which of the following best describes where and how those assets will generally be displayed?

A) In a separate restricted asset category on the balance sheet.
B) Intermingled with other assets on the balance sheet.
C) Intermingled with other assets on the balance sheet but footnoted.
D) In a separate restricted fund.
Use the following information to answer #7 and #8.
The City of Brockton voted to establish an internal service fund to account for its printing services.The City transferred $500,000 cash from the General Fund to the newly created internal service fund.