Sources of funds to replenish the Revolving Fund for PRIP expenditures include which of the following?

• A. Depreciation charged on fixed assets
• B. Charges for plant increment
• C. Additional appropriations from Congress
• D. All of the above

Answer: (D)

Revolving funds are kept solvent by turning different inflows into the fund so it can continuously finance PRIP expenditures. Depreciation on fixed assets provides an internal source of replenishment, since allocating the cost of assets over their life helps fund replacements and continued operation. Charges for plant increment add revenue tied to improvements or expansion of plant capacity, which is directed back to the fund to sustain ongoing activities. When internal sources aren’t enough, additional appropriations from Congress can be provided to replenish the fund. Because each of these mechanisms can replenish the Revolving Fund, the best answer is all of the above.