Assume that a Debt Service Fund does not have nonspendable fund balance. Further, assume that total fund balance is less than the sum of restricted and committed levels of fund balance. This deficit should

Question

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According to GASB standards, if the total fund balance for a Debt Service Fund is less than the sum of restricted and committed levels of fund balance, the resulting deficit should be reported as a negative unassigned fund balance. This is because the Debt Service Fund does not have nonspendable fund balance, and the deficit cannot be netted against positive committed fund balance.

Assume That a Debt Service Fund Does Not Have Nonspendable