An unrestricted balance sheet category used in health care reporting to show limitations on the use of assets due to bond covenant restrictions and governing board plans for future use is called:

Question

Quizplus · Accepted Answer

The category described in the question is assets whose use are limited, which indicates that the assets cannot be used freely due to restrictions imposed by bond covenants and plans of the governing board. Restricted net assets are those that have been restricted by external sources, such as donors or grantors, while temporarily restricted net assets are those that are restricted for a specific period, after which they become unrestricted. Unrestricted net assets are those that are free to be used by the organization without any restrictions. Hence, the best choice based on the given information is assets whose use are limited (Option A).

An Unrestricted Balance Sheet Category Used in Health Care Reporting