Which of the Following Best Describes Standards for Reporting Expenses

Which of the following best describes standards for reporting expenses by function (such as instruction and research) or by natural classification (such as salaries and supplies) in the statement of activities prepared by colleges and universities?

A) all expenses must be reported by function on the face of the statement.
B) all expenses must be reported by natural classification on the face of the statement.
C) they may report by either method on the face of the statements;if they report by natural classification on the face,they must report functional expenses in the notes.
D) colleges and universities may report by either method on the face of the statement.