A government's Statement of Net Position reports Net Position in three components. Which of the following is NOT one of those components?

Answer options:

Net Investment in Capital Assets

Restricted Net Position

Assigned Net Position

Unrestricted Net Position

How to approach this question

Distinguish between 'Net Position' (Government-wide/Proprietary: Net Investment in Capital Assets, Restricted, Unrestricted) and 'Fund Balance' (Governmental Funds: Nonspendable, Restricted, Committed, Assigned, Unassigned).

Full Answer

C.Assigned Net Position✓ Correct

The three components of Net Position in the government-wide Statement of Net Position are: 1) Net Investment in Capital Assets, 2) Restricted Net Position, and 3) Unrestricted Net Position. 'Assigned' is a classification used for Fund Balance in the governmental fund financial statements (GASB 54).

Common mistakes

Confusing Fund Balance classifications (NU CAR) with Net Position components (RUN).

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