When Preparing Fund Basis Financial Statements, Any Funds Not Reported

question 130

True/False

When preparing fund basis financial statements, any funds not reported separately are aggregated and reported in a single column under the label nonmajor funds.

---

Definitions:

Negligence

The failure to exercise the care that a reasonably prudent person would exercise in similar circumstances, leading to unintended harm or damage.

Proximately Caused

Refers to an event sufficiently related to a legally recognizable injury to be held as the cause of that injury.

Horizontal Privity

A legal term referring to the relationship between parties with coordinating interests in a property, often in lease agreements.

Vertical Privity

A legal concept relating to the chain of ownership or rights that exist in contracts, specifically in property law and warranties, where obligations are passed down.