Assets associated with a fiduciary activity accounted for in a Private-Purpose Trust Fund are administered through a trust where the principal and earnings are maintained to benefit those outside the government-individuals, private organizations, or other governments.

Question

Quizplus · Accepted Answer

One of the three criteria for a fiduciary activity is that assets associated with the activity are administered through a trust for which the sponsoring government is not a beneficiary. In other words, the trust must benefit those outside the government.

Assets Associated with a Fiduciary Activity Accounted for in a Private-Purpose