Transfers from an Internal Service fund to another fund are reported in the Internal Service Fund's Statement of Cash Flows as

Question

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Transfers from an Internal Service fund to another fund are considered a noncapital financing activity since they do not involve the acquisition or disposal of long-term assets, nor do they represent the repayment of long-term debt. Therefore, they would be reported in the Internal Service Fund's Statement of Cash Flows as Cash flows from noncapital financing activities.

Transfers from an Internal Service Fund to Another Fund Are