The Basis of Accounting Selected by or Imposed on a Governmental

question 10

Multiple Choice

The basis of accounting selected by or imposed on a governmental entity can influence which of the following?

• A)A decision to contract-out a specific service rather than provide that service itself.
• B)The amount of salary increases proposed by union negotiators.
• C)The amount that is available to spend on a donor-specified project or service.
• D)All of the above.

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Definitions:

Checking Account

A bank account that allows for both deposits and withdrawals, typically used for day-to-day financial transactions.

Cashier's Check

A check issued by a bank, drawing on its own funds rather than on the account of a private individual, offering a secure means of payment.

Checking Account

A bank account that allows the holder to withdraw funds using checks or a debit card, typically used for daily transactions.

Deposit

A sum of money placed into an account or given as a security for the future payment of a service.