An Internal Service Fund Had Investments with an Original Cost

question 37

Multiple Choice

An Internal Service Fund had investments with an original cost of $100,000. As of the end of the fiscal year, the fair market value on these investments was $85,000. The Internal Service Fund would

• A) Report expenses of $15,000.
• B) Report a reduction of revenue of $15,000.
• C) Not adjust the value of the investments reported on the balance sheet.
• D) Report a loss on investments of $15,000.

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Definitions:

Industrial Engineering

A branch of engineering focused on optimizing complex processes or systems for improved efficiency and productivity.

Systematic Study

an approach to understanding phenomena through structured, methodical investigation and analysis.

Group Dynamics

The study of the behavioral and psychological processes that occur within a social group or between social groups.

Teamwork

The collaborative effort of a group of people working together to achieve a common goal or complete a task in the most effective and efficient way.