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Which of the Following Is Not True Regarding Permanent Funds

Question 105

Multiple Choice

Which of the following is not true regarding permanent funds?


A) Permanent funds are considered governmental funds.
B) Permanent funds are appropriate when a gift must be invested and the proceeds used to benefit individuals or organizations.
C) Permanent funds use the current financial resources measurement focus and modified accrual basis of accounting.
D) Major permanent funds would be reported in the Governmental Funds Statement of Revenues, Expenditures, and Changes in Fund Balances.

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