Final answer:
The Town of Acton's financial statements should include the primary government, discretely presented component units, blended component units, and internal service funds, each reflecting different aspects of the town's financial organization and relationships. The correct options are A B C D.
Step-by-step explanation:
The financial statements of the Town of Acton should include the following components:
- Primary government: This is the central reporting entity which includes all funds, organizations, institutions, agencies, departments, and offices that are not legally separate from the town government.
- Discretely presented component units: These are legally separate entities for which the primary government is financially accountable and that have a different governing body or fiscal year than the primary government. They are shown separately from the financial data of the primary government.
- Blended component units: These are component units that are so intertwined with the primary government that they are, in substance, the same entity. They are blended into the primary government's financial statements.
- Internal service funds: These funds account for any services provided by one department of the government to another on a cost-reimbursement basis. They are included if they predominantly benefit government activities rather than business-type activities. The correct options are A B C D.