The City of Elmtree is preparing its financial statements for the year ended December 31, 20X2, and has asked for your assistance in determining whether its special revenue fund is a major or a nonmajor fund for the financial statements of its governmental funds. The city has provided the following information:

The special revenue fund reported the following amounts at December 31, 20X2 (assets and l iabilities), and for the year ended December 31, 20X2 (revenues and expenditures):
Assets .......... $4,100,000
Liabilities ......... 3,900,000
Revenues ........ 6,700,000
Expenditures ...... 6,500,000
Required
Determine whether Elmtree€™s special revenue fund is a major fund for the 20X2 financial s tatements of the city€™s governmentalfunds.

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Totals for Governmental Funds $50,000,000 22,000,000 70,000,000 60,000,000 Totals for Governmental and Enterprise Funds $80,000,000 37,000,000 95,000,000 82,000,000 Items Assets Liabilities Revenues Expenditures/expenses