When a Cash and Investment Pool of a Certain City

question 51

Multiple Choice

When a cash and investment pool of a certain city was established, the debt service fund transferred investments to the pool having a cost of $3,000,000 but a current fair market value of $3,100,000. To record this transfer, a single journal entry was made by the debt service fund that included which of the following?

• A) A debit to Equity in Pooled Cash and Investments in the amount of $3,000,000.
• B) A credit to Revenues-Change in Fair Value of Investments in the amount of $100,000.
• C) A debit to Investments in the amount of $3,000,000.
• D) A credit to Investments in the amount of $3,100,000.

---

Definitions:

Novelty

The quality of being new, original, or unusual.

Temperament

Innate traits that determine an individual's approach to the environment, influencing behavior patterns from early life.

Academic Performance

Refers to the level of achievement or success a student has attained in their educational pursuits, often measured through grades, assessments, and other academic indicators.

Inhibition

Inhibition is the psychological process of restraining impulses, desires, or behaviors, often due to societal norms, personal conscience, or perceived obstacles.