Question

Capital assets used by governmental funds should be reported in:

A. The governmental activities column of the government-wide statements.
B. The appropriate governmental funds.
C. The property, plant, and equipment fund.
D. Departmental memorandum records.

Answer 1

The correct answer is A

Step-by-step explanation:

Capital assets are those assets which involve the property of any king that is held through an assessee, whether linked with their business or the profession or not connected.

And these assets are reported as the assets in the financial statements of the government wide. These assets are not present financial resources. Therefore, the capital assets would be used through governmental funds reported in the activities column of governmental of the government-wide statements.