Which of the following funds uses the Current Financial Resources Measurement Focus and Modified Accrual Basis of Accounting?

Answer options:

Capital Projects Fund

Internal Service Fund

Enterprise Fund

Custodial Fund

How to approach this question

Mnemonic: GRaSPP funds are Modified Accrual. SE (Proprietary) and CIPPOE (Fiduciary) are Full Accrual.

Full Answer

A.Capital Projects Fund✓ Correct

The Capital Projects Fund is a Governmental Fund. All Governmental Funds use the Current Financial Resources Measurement Focus and Modified Accrual Basis.

Common mistakes

Thinking Internal Service is governmental (it's proprietary).

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