GOV-Fiduciary funds F/S

Question 1

Which of the following is a required financial statement for an investment trust fund?

Answer 1

Investment trust funds are one of the fiduciary fund types for state and local governments. Two financial statements are required for fiduciary funds—a statement of fiduciary net position and a statement of changes in fiduciary net position. (The statement of changes in fiduciary net position is not required for agency funds.)

Question 2

Monies held in trust for the benefit of parties who are not a part of government are accounted for in which type of fund?

Answer 2

Private-purpose trust funds represent resources held in trust for the benefit of parties that are not a part of the government, rather than for the benefit of government programs.

Private purpose trust funds are assets held for parties outside GOV
Agency funds are assets held for parties inside GOV