When charges to external users are a principal revenue source of an activity, the use of an Enterprise Fund is required by generally accepted accounting principles in each of the following situations except

	A.	When pricing policies of the activity establish fees and charges are designed for cost recovery.
	B.	When an activity is financed with debt that is secured solely by the pledge of revenues.
	C.	When user fees are charged for the majority of the activitys operations.
	D.	When laws and regulations require that the activity's costs be recovered with fees and charges.

An Enterprise Fund is donating equipment to a general government department. The equipment has a net book value of $25,000 (original cost was $60,000). The acquisition value of the equipment at the transaction date was $28,000. The entry that should be recorded for the Enterprise Fund would include

	A.	A debit to nonoperating expense of $28,000.
	B.	A debit to transfer out of $28,000.
	C.	A debit to nonoperating expense of $25,000.
	D.	A debit to capital contribution of $25,000.