Which of the following is not a reason explaining why a state or local government might issue financial statements?

a. The state or local government receives federal government funds, and the state/local government must prepare financial statements as a condition of this funding.

b. Municipal bond investors may require the state/local government to issue audited financial statements as a condition of the bond issuance.

c. The state law may require the state and certain local governments to pre-pare audited financial statements.

d. Shareholders in the government may require the issuance of audited financial statements.