1.What is the distinction, as drawn by the GASB, between a fiduciary fund and a permanent fund?
2.How should governments report permanent fund and fiduciary fund balances and income in their government-wide statements? Explain Why do the balance sheets of agency funds contain only assets and liabilities, but no fund balances?
3.Why is it often unclear whether the resources relating to a particular activity should be accounted for in an agency fund or a governmental fund?