Which of the following funds is a proprietary fund?
A)Internal service fund.
B)Special revenue fund.
C)Capital projects fund.
D)Permanent fund.

Question

Quizplus · Accepted Answer

Proprietary funds are used for activities that are primarily financed by user fees and charges, and are therefore expected to be self-supporting. Internal service funds are a type of proprietary fund that provides goods or services to other departments or agencies within the government entity. Special revenue funds are used to account for specific revenue sources, such as grants or dedicated taxes. Capital projects funds are used to account for the construction or acquisition of major capital assets. Permanent funds are used to account for endowments or other funds where the principal must be maintained intact and only the income earned can be used for specific purposes.

Which of the Following Funds Is a Proprietary Fund