A fund is considered to be a separate accounting entity that consists of a self-regulating and balancing set of accounts, primarily aimed in the accounting for resources given to not for profit and governmental entities. These funds are set up to manage all resources and the claims bestowed upon them from donors. Certain donations are legally restricted or restricted through time constraints, so funds are set up to account for when the resources are expended. There are three categories of funds: governmental, proprietary and fiduciary.
