Which of the following is not correct with respect to major enterprise funds? A) Any funds not reported separately are aggregated and reported in a single column under the label nonmajor funds. B) A government may designate any fund as a major fund if reporting that fund separately would be useful. C) The general fund is not classified as a major fund if it does not meet the 10% and 5% tests for a major fund. D) If the reporting government is preparing a complete CAFR, a schedule showing the detail of nonmajor funds is provided in the other supplementary information section.

Question

Quizplus · Accepted Answer

The General Fund is always a major fund. Governmental funds, other than the general fund, are considered to be a major fund when both of the following conditions are met: 1) Total assets, liabilities, revenues or expenditures of that individual government fund constitute 10% of the total for the governmental funds category and 2) Total assets, liabilities, revenues or expenditures of that individual government fund are 5% of the total of the governmental and enterprise categories, combined.

Which of the Following Is not Correct with Respect to Major