In a Statement of Net Position, the Net Position of a Proprietary

question 2

Multiple Choice

In a statement of net position, the net position of a proprietary fund should be displayed in which of the following categories?

• A) Unrestricted fund balance; restricted fund balance; invested in capital assets, net of related debt.
• B) Unrestricted net position; restricted net position; invested in capital assets, net of related debt.
• C) Unrestricted net assets; restricted net assets
• D) Restricted net assets; retained earnings; unrestricted net assets.

---

Definitions:

Full Employment

A situation where all available labor resources are being used in the most efficient way possible, typically characterized by very low unemployment rates.

Impact Lag

The delay between the implementation of a policy (such as monetary or fiscal policy) and the observable effects of this policy on the economy.

Fiscal Policy

Government policies regarding taxation and spending that are used to influence economic conditions, including economic growth, inflation, and unemployment.

Budget Deficit

A scenario in which a government spends more than it earns in a particular timeframe, resulting in the need to accumulate debt or borrow money.