Under GAAP, Investment Income for Governmental Entities Must Include

question 15

Multiple Choice

Under GAAP, investment income for governmental entities must include

• A)only dividends and interest received during the period.
• B)only dividends and interest earned during the period.
• C)only realized gains and losses.
• D)dividends and interest received during the period and both realized and unrealized gains and losses

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Definitions:

Total Revenue

The complete amount of income generated by the sale of goods or services before any costs or expenses are subtracted.

Perfectly Price Elastic

A market situation in which demand or supply responds infinitely to changes in price, meaning any tiny price change results in an infinite quantity demanded or supplied.

Demand

The quantity of a good or service consumers are willing and able to purchase at various prices during a given period.

Tickets

Documents or electronic vouchers that grant the holder the right to admission to an event, transport service, or the like.