Which of the Following Is True Regarding Financial Reporting of Special-Purpose

Multiple Choice

Which of the following is true regarding financial reporting of special-purpose entities?

A) Special-purpose entities might be included as component units in a primary government's financial statements.
B) Special-purpose entities that engage in more than one governmental activity may prepare statements that combine government-wide and governmental fund statements.
C) Both of the above are true.
D) Neither of the above is true.