Which of the Following Is $\textbf{ not }$

question 28

Multiple Choice

Which of the following is $\textbf{ not }$ a characteristic used to determine if an organization is a government?

• A) The majority of governing board members are appointed by government entities.
• B) An entity that has the power to enact and enforce a property tax levy.
• C) An entity receives over half of its resources from other governmental entities.
• D) The potential for unilateral dissolution with the net assets reverting to a government upon dissolution.

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Definitions:

Equipment Cost

The total expenditure incurred to purchase, install, and make operational a piece of equipment.

CICA

Canadian Institute of Chartered Accountants, responsible for setting accounting and auditing standards in Canada.

Financial Lease

A type of lease in which the lessee is effectively considered to own the asset during the lease term and bears the risk of obsolescence.

Tax Avoidance

The legal practice of structuring financial affairs to minimize tax liabilities without violating the law.