Which of the Following Statements Concerning Interfund Transfers Is

question 53

Multiple Choice

Which of the following statements concerning interfund transfers is ?

• A) Interfund transfers are reported in the statement of revenues, expenditures, and changes in fund balance when transfers occur among governmental funds.
• B) Interfund transfers are reported in the statement of activities when transfers occur among governmental funds.
• C) Interfund transfers are reported in the statement of revenues, expenditures, and changes in fund balance and the statement of activities when transfers occur among governmental funds.
• D) Interfund transfers are reported as internal balances on the statement of net position when activity occurs among governmental activities and business-type activities.

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Definitions:

Fixed Costs

Expenses that do not change in proportion to the activity of a business, such as rent, salaries, and loan payments.

Competitively Organized

A market structure where multiple firms compete against each other, allowing for a wide range of choices for consumers and promoting efficiency.

Monopoly

A market structure characterized by a single seller, selling a unique product in the market with no close substitutes.

Marginal Revenue

The boost in income derived from the sale of an extra unit of a product or service.