Which of the following is true regarding the reporting of major funds in the governmental funds financial statements?
A) The General Fund is always considered a major fund.
B) A fund is considered major if its revenues, expenditures, assets, or liabilities exceed 10% of the total governmental fund categories and if the same element (revenues, expenditures, assets, or liabilities) exceeds 5% of the governmental and enterprise funds combined.
C) Both of the above.
D) Neither of the above.

Question

Quizplus · Accepted Answer

Both statements are true regarding the reporting of major funds in the governmental funds financial statements. The General Fund is not always considered a major fund, it has to meet the criteria mentioned in option B to be considered as major.

Which of the Following Is True Regarding the Reporting of Major