Which of the following is true regarding the Statement of Revenues,Expenses and Changes in Net Assets for a public college reporting as a special purpose entity engaged in business type activities only?
A) Full accrual accounting is used to measure revenues and expenses.
B) Grants are treated as operating revenue and contributions as non-operating revenue.
C) Both of the above are true.
D) Neither of the above is true.

Question

Quizplus · Accepted Answer

Public colleges reporting as special purpose entities engaged in business-type activities use full accrual accounting, and grants are typically treated as operating revenue while contributions are considered non-operating revenue.

Which of the Following Is True Regarding the Statement of Revenues,Expenses