(Conceptual section review)

Answer each of the following questions.

1. If you were setting up the accounting system for a governmental unit, what type of fund would you use for a municipal clinic? Why?

2. If you were setting up the accounting system for a governmental unit, what type of fund would you use for a centralized computing system? Why?

3. Several small governmental units decided to pool their resources and build a regional airport. What type of fund would you recommend for the airport? Why?

4. How are the assets of the Plainville township Electric Utility Fund likely to have been financed? Explain your answer.