[animalwithin]

I don’t understand the following Ninja question:

Financial statements for which fund type generally report net position?

Answer: Enterprise fund

Don’t fiduciary funds also report net position through the Statement of Fiduciary Net Position?

[lisl]

What were the other answer choices? Were any of the Fiduciary funds included in the answer choices?

I'm using Becker, and a section in my book is titled “Net Position and Components Thereof (Proprietary and Government-Wide). It further goes on to say that net position is reported in the gov wide FS and proprietary fund balance sheets – this represents net equity. Fiduciary funds are not included in government-wide financial statements, so this could be why the Ninja question left the fiduciary funds out of the answer choices.

You're right though, that is confusing as Fiduciary fund FS do include fiduciary net position.

[animalwithin]

The answers were enterprise fund, two gov funds, or the pension trust fund.

I picked pension trust fund since it's a Fiduciary Fund but it was wrong.

Still don't know why…

[animalwithin]

Anyone else have an explanation for this? Is it possibly a Ninja error?

[CPAHOPE]

Enterprise funds are included in Govt wide financial statements whereas Fiduciary funds are not included thats why. Notice the word GENERALLY.
YES, Fiduciary funds do include Fiduciary net position

[animalwithin]

@CPAHOPE, I'm not sure I follow. The question doesn't indicate that we're talking about govt wide financial statements.

[CPAHOPE]

@animalwithin
I see your point, I think the question wasnt written properly but i wouldn't worry about it too much. Knowing the ins n outs of journal entries are critical in FAR

[CPAHOPE]

Or you can make the claim that when the question stated financial statements, you can assume it to be an external statement. Fiduciary assets are reported in fund based financial statements which is an internal statement.

[Author]

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