Asked by: Mohsen Embarbapersonal finance mutual funds
What is the difference between agency funds and trust funds?
Last Updated: 25th May, 2021
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Consequently, what financial statements are prepared for agency funds and trust funds?
The required financial statements for a fiduciary fund are as follows: Statement of fiduciary net position.
- Agency funds.
- Investment trust funds.
- Pension and employee benefit trust funds.
- Private-purpose trust funds.
Subsequently, question is, what is a trust agency? A trust company is a legal entity that acts as a fiduciary, agent, or trustee on behalf of a person or business for the purpose of administration, management, and the eventual transfer of assets to a beneficial party.
In this manner, what type of fund is an agency fund?
An agency fund is an assemblage of funds that one government agency holds on behalf of another government agency. For example, if the State of Colorado collects sales tax funds on behalf of the City of Aurora, these funds are considered to be agency funds.
Is an agency fund a fiduciary fund?
NCGAS 1 recognized the need for fiduciary funds (known as trust and agency funds prior to GASBS 34), “to account for assets held by a governmental unit in a trustee capacity or as an agent for individuals, private organizations, other governmental units, and/or other funds.” Agency funds.