Multiple Choice
Use the following information to answer the question(s) below.
The town of Mayberry receives a gift of $500,000 in bonds. The contributor instructs that the principal should remain intact, but the annual interest income of $50,000 can be used for the maintenance of the zoo animals.
-What type of fund should be used to account for the gift of bonds and the interest income?
A) General Fund
B) Special Revenue Fund
C) Proprietary Fund
D) Permanent Fund
Correct Answer:
Verified
Correct Answer:
Verified
Q1: Use the following information to answer the
Q2: Under accrual accounting,revenues are generally recognized in
Q3: A pre-closing trial balance included the
Q4: A restricted fund balance represents amounts that
Q6: When the interest income of $50,000 is
Q7: Under the modified accrual basis of accounting,fixed
Q8: The following information regarding the fiscal year
Q9: Capital project funds may be used for
Q10: Permanent funds are normally for nonexpendable resources
Q11: Bounty County had the following transactions in