Which of the Following Statements Is True About Interfund Transfers

question 24

Multiple Choice

Which of the following statements is true about interfund transfers in an Enterprise Fund?

• A) They are always reported as capital and related financing activities in the statement of cash flows.
• B) They are always the last item reported immediately before the change in net position in the statement of revenues, expenses, and changes in fund net position.
• C) They do not affect changes in net position of the proprietary fund.
• D) They are always reported as noncapital financing activities in the statement of cash flows.