Nox City reported a $25,000 net increase in the fund balances for total governmental funds. Nox also reported an increase in net assets for the following funds:

Motor pool internal service fund

$ 9,000

Water enterprise fund

12,000

Employee pension fund

7,000

The motor pool internal service fund provides service to the general fund departments. What amount should Nox report as the change in net assets for governmental activities?

  1. $25,000
  2. $34,000
  3. $41,000
  4. $46,000