Revenues from voluntary non exchange transactions, such as donations and certain grants, should be recognized in governmental funds when

Question

Quizplus · Accepted Answer

Revenues from voluntary non exchange transactions, such as donations and certain grants, should be recognized in governmental funds when the assets are received. This is in accordance with the recognition principle in governmental accounting, which states that revenues should be recognized when measurable and available. However, it should be noted that if the asset received has restrictions on use, the revenue may not be recognized until the restrictions are met.

Revenues from Voluntary Non Exchange Transactions, Such as Donations and Certain