Which of the Following Would Increase the Governmental Activities Balance

question 52

Multiple Choice

Which of the following would increase the governmental activities balance in Net Position-Net Investment in Capital Assets?

• A) Use of tax revenues to acquire a police department building.
• B) Issuance of long-term debt to be used to acquire equipment for the police department.
• C) A gift of land to the city restricted by the donor to be used by the city airport, which is accounted for as an enterprise fund.
• D) Recording annual depreciation on capital assets.

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Definitions:

Limited Problem-Solving

A consumer decision-making process used for purchases that require a moderate level of deliberation and effort.

Personal Computer

A computer designed for use by an individual, typically consisting of a microprocessor, monitor, keyboard, and storage.

Elaboration Likelihood Model

A theory in social psychology that explains how attitudes are formed and changed through different routes of information processing based on the level of elaboration.

High-Involvement Purchase

A buying decision characterized by a high degree of engagement and careful consideration due to its significant impact on the consumer.