Which fund type uses the economic resource measurement focus?

The private-purpose trust fund is characterized by using the economic resource measurement focus, which means it accounts for assets and liabilities. This approach recognizes all resources available to the fund that can be used to support its operations, reflecting a more comprehensive view of the financial position. In this type of fund, the focus is on the overall economic resources available, not just those that are immediately spendable.

Private-purpose trust funds are established to benefit specific individuals or organizations; for example, funds held in trust for scholarships or other purposes that are not restricted to governmental operations. This aligns well with the economic resource measurement focus, which captures all resources and obligations in the fund regardless of the timing of their availability for expenditure.

The other fund types mentioned have different focuses; for instance, the general fund employs a current financial resources measurement focus, concentrating on the financial resources that are available to be spent in the current period. Agency and permanent funds also have their respective focuses that do not encompass the entire economic resources perspective present in private-purpose trust funds.