Which of the following is not a GASB54 fund balance classification?

• A. Contingent
• B. Nonspendable (inventory, prepaids, not cash)
• C. Restricted (specific purposed externally imposed)
• D. Assigned (specific purpose without board action)

Answer: (A)

Under GASB 54, spendable fund balances are shown in categories that reflect constraints on use: Nonspendable (items not in spendable form, like inventories and prepaids), Restricted (externally imposed limits), Committed (constraints by formal action of the government), Assigned (intended for a specific purpose), and Unassigned (the residual in the general fund). The term Contingent does not appear as a fund balance classification; it describes a potential future condition rather than a category of spendable resources. So Contingent isn’t a GASB 54 fund balance category. The other terms listed fit as classifications: Nonspendable for items not in spendable form, Restricted for externally imposed restrictions, and Assigned for funds set aside for a specific purpose.