Maple Church has cash available for investments in several different accounting funds. Maple's policy is to maximize its financial resources. How may Maple pool its investments?
a.
Maple may pool all investments, but must equitably allocate realized and unrealized gains and losses among net asset classifications as appropriate.
b.
Maple may pool only restricted investments, but must equitably allocate realized and unrealized gains and losses among restricted portfolios according to classification.
c.
Maple may pool only unrestricted investments, but must equitably allocate realized and unrealized gains and losses among designated portfolios.
Choice "A" is correct. Non-profit organizations such as churches may pool all investments of various internal accounting funds, but must equitably allocate realized and unrealized gains and losses to net asset classifications as appropriate.
