The fund balance reported in the Governmental Funds Balance Sheet must equal the total Net Position in the governmental activities column of the government-wide Statements of Net Position.

Question

Quizplus · Accepted Answer

The fund balance reported in the Governmental Funds Balance Sheet must be reconciled to the net position of governmental activities in the Statement of Net Position. These amounts differ because the two statements have different bases of accounting and because most internal service funds are included in the governmental activities column on the government-wide statements.

The Fund Balance Reported in the Governmental Funds Balance Sheet