Multiple Choice
Which of the following is not correct regarding Government Trust Accounting?
A) If a trust is to benefit the government or its citizenry, it should be accounted for in a special revenue or permanent fund.
B) If a trust is to benefit individuals, private organizations, or other governments, it should be accounted for in a private-purpose trust fund.
C) The journal entry to establish a permanent fund would include a credit to Fund Balance - Nonspendable.
D) Trust funds accounted for in a permanent fund use accrual accounting
Correct Answer:
Verified
Correct Answer:
Verified
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