A permanent fund classified under governmental funds…
A) Accounts for resources that are legally restricted so only earnings, not principal, may be expended, and for purposes to benefit the government and its citizenry.
B) Accounts for most of the basic services provided by the governmental unit.
C) Accounts for financial resources intended for major capital projects
D) Accounts for services provided by one department of a government to another

Question

Quizplus · Accepted Answer

Permanent funds account for and report resources that are restricted to the extent that only earnings, and not principal, may be used for purposes that support the reporting government's programs.

A Permanent Fund Classified Under Governmental Funds…