Which of the Following Statements Is Correct with Respect to GASB

Multiple Choice

Which of the following statements is correct with respect to GASB Statement No.53 which establishes reporting requirements for governments entering into derivative instruments?

A) Changes in the value of hedge derivatives are reported in the Statement of Net Assets.
B) If a derivative is an investment derivative, the changes in the value of the derivative are deferred and reported in the statement of net assets.
C) Statement No. 53 does not apply to proprietary or fiduciary funds.
D) Statement No. 53 applies to government financial statements prepared using the modified accrual basis of accounting.