The Earnings on the Assets of a Permanent Fund Are

question 48

Multiple Choice

The earnings on the assets of a permanent fund are to be used to support the city's library (special revenue fund) . How would the earnings be recorded?

• A) Revenues by the permanent fund.
• B) Revenues by the library.
• C) Revenues by both the permanent fund and the library.
• D) Other financing source by the permanent fund.

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Definitions:

Economic System

The structure and methods by which a society decides on the allocation of resources and distribution of goods and services.

Goodwill

The intangible asset that arises as a result of the reputation, brand, or customer relations of a business, adding value beyond its tangible assets.

Intangible Capital

Assets that are not physical in nature, such as intellectual property, brand recognition, and human capital, which can contribute to a company's value.

Inventory

The total amount of goods and materials held in stock by a business, including raw materials, work-in-progress, and finished goods.