Ray County administers a tax custodial fund, an investment trust fund, and a private-purpose trust fund. The tax custodial fund acts as custodian for the county, a city within the county, and the school district within the county. Participants in the investment trust fund are the Ray County General Fund, the city, and the school district. The private purpose trust is maintained for the benefit of a private organization located within the county. Ray County has prepared the following statement of fiduciary net position.

Required
The statement as presented is not in accordance with GASB standards. Using Illustration A2€“10 (recall that the City and County of Denver statements use agency rather than custodial given they were issued prior to the change in terminology) and Illustration 8€“6 as examples, identify the errors (problems) in the statement and explain how the errors should be corrected.

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RAY COUNTY Statement of Fiduciary Net Position Fiduclary Funds June 30, 2020 (in thousands) Trust Custodial Funds Funds Total Assets $ 788 $ 104,747 $ 105,535 Cash and cash equivalents Receivables 12,166 81,858 100,024 Investments: 241,645 Short-term investments 241,645 972,226 992,226 Bonds, notes, and stock 20,000 Capital assets, at cost 6,000 Total assets 1,350,784 88,646 1,439,430 Liabilities Accounts payable Capital lease obligation 61,447 61,447 6,000 6,000 Net Assets Held in trust for: Organizations County City of Leetown 193,400 193,400 219,187 10,638 229,825 383,578 22,048 406,626 493,172 $1,289,337 548,132 $1,377,983 Leetown School District 50,960 $88,646 Total net position