Annual Comprehensive Financial Reports (ACFRs) for state or local governments are crucial financial documents that provide insights into the government's financial activities. Distinguishing between general revenues and program revenues is fundamental in understanding how governments fund their operations and specific programs. General revenues support the overall government's functions, while program revenues are dedicated to specific services or activities. All revenues are general revenues unless they are required to be reported as program revenues. General revenues are reported in the governmentwide statement of activities after program revenues have been subtracted from functional expenses. Program revenues either derive directly from the program or from parties outside the reporting governments taxpayers or citizenry. These revenues reduce the net cost of the function to be financed from the governments general revenues. When identifying the function that pertains to program revenue, the determining factor for charges for services is the function that generates the revenue. For grants and contributions, the determining factor is the function to which the revenues are restricted. Some examples of general revenue would be all the reporting governments taxpayers. Program revenue would be Parties outside the reporting governments citizenry (such as other governments, nongovernmental entities or individuals)