The conflict between legal reporting requirements and GAAP that is encountered most commonly in accounting for state and local governments is: A. a legal requirement for presentation of revenue and expense-based, consolidated financial statements for the governments. B. a legally required fund structure that differs from the GAAP fund structure, C. the use of a budgetary basis that differs from GAAP. D. the use of a different fiscal year-end for GAAP than for legal reporting purposes. Submit Answers The key distinction between enterprise fund and internal service fund operations is that: A. enterprise fund activities are "business-Like." B. enterprise funds are governmental funds. C. Internal service funds operate on a cost-reimbursement basis. o D. Internal service funds predominantly serve the government's own departments or agencies. Submit Answers Which of the following is part of the GCA-GLTL accounts accounting equation? A. Contributed capital B. Fund balance C. Net position D. Retained earnings Submit Answers