Which of the Following Is the Best Rationale/justification for Reporting

question 30

Multiple Choice

Which of the following is the best rationale/justification for reporting the business-type activities of a government in a separate fund?

• A) Laws or regulations require that the activity's costs of providing services be recovered by fees and charges rather than by general purpose taxes or similar charges.
• B) Separate funds facilitate budgeting, planning, and control.
• C) Separate funds facilitate an assessment of the activity's performance.
• D) Separate funds facilitate an assessment of the activity's fiscal status.

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Definitions:

Different Value Customers

Consumers categorized based on their value or profitability to a business, affecting how they are marketed to and served.

High-End Professional Series

Products or services that are designed and marketed to meet the demands and expectations of professional-grade users, often featuring advanced capabilities and superior quality.

Professional Chefs

Professional chefs are highly skilled and trained individuals who prepare food in restaurants, hotels, and other dining establishments, often specializing in a particular cuisine.

Arbitrage

The practice of buying and selling the same asset in different markets to profit from price discrepancies without any risk.