fund balance.\ 2-4. How does the modified accrual basis of accounting differ from accrual accounting? Why is modified accrual used for governmental fund financial statements?\ 2-5. What are the three categories of funds prescribed by GASB standards, and which fund types are included in each? Which basis of accounting is used by

2-4. How does the modified accrual basis of accounting differ from accrual accounting? Why is modified accrual used for governmental fund financial statements? 2-5. What are the three categories of funds prescribed by GASB standards, and which fund types are included in each? Which basis of accounting is used by