Which of the Statements Concerning Custodial Funds Is True

question 41

Multiple Choice

Which of the statements concerning custodial funds is True?

• A) Custodial funds use the same basis of accounting as permanent funds.
• B) Custodial funds are reported only on the statement of fiduciary net position.
• C) Custodial funds use the temporary accounts Additions and Deductions.
• D) Custodial funds never receive cash.

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Definitions:

Schools

Institutions for educating children, often at the primary and secondary level, but also inclusive of tertiary education.

Labor-Market Discrimination

The practice of unfairly treating individuals differently in employment decisions based on characteristics unrelated to their job performance, such as race, gender, or age.

Higher Salary

An increased amount of money earned by an employee for their work, often due to promotions, skill upgrades, or market demand for their role.

Identical Characteristics

A term describing goods, services, or entities that have the same attributes and qualities, making them indistinguishable in certain respects.