The Financial Statements of a Proprietary Fund Are Similar to Those

question 46

Multiple Choice

The financial statements of a proprietary fund are similar to those of a business enterprise except for

• A)proprietary funds do not report income taxes on the operating statement.
• B)proprietary funds do not have paid-in capital or capital stock.
• C)proprietary funds use modified accrual accounting.
• D)proprietary funds may have account titles such as due from general fund.

---

Definitions:

Migratory Herds

Groups of animals that move from one region or habitat to another according to the seasons, in search of food, better conditions, or breeding grounds.

Permanent Settlements

Communities where people live year-round, characterized by durable houses and infrastructure, contrasting with nomadic or seasonal dwellings.

Sexual Division

A delineation of roles and responsibilities between genders, often based on biological differences and societal norms.

Age Division

A system of categorizing individuals or societal roles based on age, often used in traditional societies for organization and rites of passage.