48. A good reason for NNOs to adopt fund accounting even though FASB standards do NOT require it is because: A) restrictions are placed by donors in many cases. B) the C) the capital assets are significant. D) the donated services are significant. program services are involved with more than one type of revenue. 49. What is the underlying reason a govemmental unit uses separate funds to account for its transactions? A) Generally accepted accounting principles require that nonbusiness entities report on B) Governmental units are so large that it would be unduly cumbersome to account for C) Many activities carried on by govenmental units are short-lived and their inclusion D) Because of the diverse nature of the services offered and legal provisions regarding a funds basis. all transactions as a single unit. in a general set of accounts could cause undue probability of error and omission. activities of a governmental unit, it is necessary to segregate activities by functional nature. 50. The activities of a municipal airport should be accounted for in the: A) Enterprise Fund. B) General Fund. C) Internal Service Fund D) Special Revenue Fund. 51. Military Family Center is a voluntary welfare organization funded by contributions from the general public. During 2016 unrestricted pledges of $800,000 were received, half of which were payable in 2016 with the other half payable in 2017 for use in 2017. It was estimated that 10% of these pledges would be uncollectible. How much should National report as net contribution revenue for 2016 with respect to the pledges? A) $720,000 B) $360,000 C) S0 D) $800,000 52. For a university, the receipt of assets for operating activities that have external restrictions as to the purposes for which they can be used is recorded by crediting: A) Net Assets Released. B) Deferred Revenue. C) Fund Balance-Restricted. D) Contribution Revenue