General capital assetsare those assets acquired with the resources of governmental funds. They are reported as assets in the Governmental Activities column of the government-wide financial statements at historical cost. Those capital assets identified as depreciable are shown net of accumulated depreciation. The resources used by the governmental funds to acquire a general capital asset are reported as an expenditure of the acquiring governmental fund in the fund financial statements. Capital assets acquired by proprietary and fiduciary funds are not considered general capital assets. They are accounted for by their respective funds and reported as assets within the fund financial statements. Capital assets acquired by proprietary funds are also reported in the government-wide statement of net position.

QUESTION 1:What are the fundamental differences in the purposes of the General Fund and Special Revenue Fund?

QUESTION 2: Does the General Fund act as a clearing house or a bank for the many individual funds?

Answer rating: 100% (QA)

QUESTION 1 The fundamental difference in the purposes of the General Fund and Special Revenue Fund lies in their intended uses and funding sources The ... View the full answer