Solved

When Charges to External Users Are a Principal Revenue Source

Question 13

Multiple Choice

When charges to external users are a principal revenue source of an activity, the use of an Enterprise Fund is required by generally accepted accounting principles in each of the following situations except


A) When user fees are charged for the majority of the activity's operations.
B) When an activity is financed with debt that is secured solely by the pledge of revenues.
C) When laws and regulations require that the activity's costs be recovered with fees and charges.
D) When pricing policies of the activity establish fees and charges are designed for cost recovery.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents