Roy City received a gift, the principal of which is to be invested in perpetuity with the income to be used to support the local library. In which fund should this gift be recorded?

Roy City received a gift, the principal of which is to be invested in perpetuity with the income to be used to support the local library. In which fund should this gift be recorded?



a) Permanent fund
b) Investment trust fund
c) Private purpose trust fund
d) Special revenue fund








Answer: A


Learn More :

Governmental Accounting

Learn More Multiple Choice Question :