The General Fund has a Due from Capital Projects Fund of $48,000 and a Due from Water Enterprise Fund of $100,000. The Capital Projects Fund has a Due to General Fund of $48,000, and the Water Enterprise Fund has a Due to General Fund of $100,000. What will be the amount of internal balances reported in the government-wide statement of net position?

Question

Quizplus · Accepted Answer

The only internal balance that is reported is the $100,000 that the Water Enterprise Fund owes the General Fund (a governmental-type fund). Amounts due between individual governmental funds, as reported in the governmental funds balance sheet, are eliminated against each other and are not carried forward to the governmental activities column of the government-wide statement of net position. The same is done for amounts due between individual enterprise funds. However, amounts due between the governmental and enterprise fund categories are carried forward to the respective columns for governmental- and business-type activities in the statement of net position and are reported as internal balances.

The General Fund Has a Due from Capital Projects Fund