When Accounting for Inventory Items in a Governmental Fund, GASB

question 62

True/False

When accounting for inventory items in a governmental fund, GASB standards permit the use of the consumption method only.

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Definitions:

Appreciate

To increase in value or price over time.

Yield

Yield is the income return on an investment, such as the interest or dividends received, expressed as a percentage of the investment's cost or current market value.

Dividend Growth Rate

The annual percentage rate at which a company's dividend payments to shareholders increase.

Required Return

The minimum rate of return an investor expects to achieve from an investment to compensate for its risk.