Newville City accounts for and reports on the Newville Housing Authority as a discretely presented component unit.

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Newville City accounts for and reports on the Newville Housing Authority as a discretely presented component unit. It engages in numerous transactions with the housing authority (e.g., providing grants and occasionally buying or selling properties). How should the city account for these transactions (e.g., as it would with an outside entity or as intra governmental transfers)?

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