GASB Standards Require That Depreciation Be Reported on All Capital

question 10

Multiple Choice

GASB standards require that depreciation be reported on all capital assets except

• A) Infrastructure accounted for using the standard approach.
• B) Infrastructure assets accounted for using the modified approach.
• C) Donated assets.
• D) Capitalized works of art.

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Definitions:

Unanticipated Shortage

An unexpected deficiency or lack of supply, often referring to situations where resources or items are not available in the needed amount.

Supply Item

A term for any single piece of inventory or material used in the operations or maintenance of a facility or system.

Inventory

A list of supplies used regularly and the quantities in stock.

Periodic Supply

A method of inventory resupply that occurs at regular, predetermined intervals.