To be reported as a major component unit, a component unit must meet the same 10 percent and 5 percent size requirements as major funds.

Question

Quizplus · Accepted Answer

The criteria for reporting a component unit as a major component unit are not based on the same 10 percent and 5 percent size requirements as major funds. Instead, the determination is based on the nature and significance of the relationship between the component unit and the primary government, among other considerations.

To Be Reported as a Major Component Unit, a Component