What is the effect on the general funds unreserved fund

What is the effect on the General Funds' unreserved fund balance when capital assets are purchased during a year from General Fund revenues?

• There is no effect, since one asset (cash) is replaced by another (capital asset)

• Unreserved fund balance is increased

• None of the above, capital assets must be purchased through a capital projects fund

• Unreserved fund balance is decreased

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What is the effect on the general funds unreserved fund : what is the effect on the general funds unreserved fund balance when capital assets are purchased during a year from

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