A restricted fund balance represents amounts that can only be spent for the specific purposes stipulated by constitution,external resource providers,or through enabling legislation.

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A restricted fund balance is specifically earmarked for a particular purpose and can only be used for that purpose. This restriction can arise from various sources, such as external resource providers, enabling legislation or constitutional provisions. As a result, the balances in these funds cannot be used for other purposes without violating the stipulations of the fund's restrictions.

A Restricted Fund Balance Represents Amounts That Can Only Be