A characteristic of a Permanent Fund is that only the earnings on the principal held can be expended to benefit those outside the government-individuals, organizations, or other governments.

Question

Quizplus · Accepted Answer

Permanent Funds are used to account for resources that are legally restricted in a manner that (1) only earnings on the principal of these resources can be expended and (2) the earnings must be used to support the programs that benefit the government or its citizens in general. Fiduciary Funds are used to hold assets in a trustee capacity for the benefit of entities or individuals outside the government.

A Characteristic of a Permanent Fund Is That Only the Earnings