As of the End of the Fiscal Year, a Capital

question 5

Multiple Choice

As of the end of the fiscal year, a Capital Projects Fund has material balances of supplies inventory. Which fund balance classification would reflect the inventory of supplies?

• A) Nonspendable.
• B) Restricted.
• C) Committed.
• D) Assigned.

---

Definitions:

Damages

Financial compensation awarded by a court to a party who has suffered loss or injury due to the actions or negligence of another party.

Obligations

Duties or responsibilities imposed by law, contract, or moral imperatives, often requiring action or forbearance.

Frustrates Contract

Describes a situation where unforeseen events make the fulfillment of a contract impossible, excusing all parties from their obligations and terminating the contract.

Breach

A violation or infraction of a law, agreement, or set of rules.