During 2014 Darden City reported the following operating receipts from self-sustaining activities paid by users of the services rendered:

During 2014 Darden City reported the following operating receipts from self-sustaining activities paid by users of the services rendered:

During 2014 Darden City reported the following operating receipts from self-sustaining activities paid by users of the services rendered:


Operations of water supply plant - $4,000,000
Operations of transit system - $800,000


What amount should be reported as operating revenues of Darden's enterprise funds?


a. $4,800,000
b. $4,000,000
c. $800,000
d. $0

Answer:  a. $4,800,000