Provide complete answers to the following two questions.
- For what types of activities are internal service funds used to account? Provide several examples. Is a government required to account for the activities you cite in an internal service fund, or may it account for them instead in its general fund?
- What is the rationale for accounting for nonexpendable endowment funds on a full, rather than a modified, accrual basis? Why is it important that depreciation be charged on long-term assets held as fiduciary fund investments?
- Submit your responses to the following questions in a 1-2 page document in MS Word. Label each question clearly. Please include computations in a table.
- For written answers, please make sure your responses are grammatically correct and free from spelling errors.
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