The Three Classes of Net Assets Required to Be Presented

question 72

Multiple Choice

The three classes of net assets required to be presented by a private college or university are:

• A) Permanently Restricted, Temporarily Restricted, and Unrestricted.
• B) Reserved, Unreserved, and Undesignated.
• C) Invested in Capital Assets net of Related Debt, Restricted, and Unrestricted.
• D) Educational and General, and Auxiliary Enterprises

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Definitions:

Equity

The concept of fairness and justice within the processes, distribution, and outcomes in society or specific situations.

Tax System

A tax system is the structured way in which taxes are collected by a government to fund public spending on goods and services.

Ceteris Paribus Error

A mistake in economic reasoning where other relevant factors or variables are assumed to remain constant when they do not.

Causality

The relationship between cause and effect, where one event is understood to be the direct consequence of another.