General Capital Assets Should Be Distinguished from Capital Assets That

question 68

True/False

General capital assets should be distinguished from capital assets that are specifically associated with activities financed by proprietary and fiduciary funds, since capital assets acquired by proprietary and fiduciary funds are accounted for by those funds.

---

Definitions:

Remaining Partners

The partners who continue the partnership business after one or more partners leave or are removed.

Noncash Assets

Assets owned by a business that are not in the form of cash but can potentially be converted into cash, such as inventory and equipment.

Book Value

The net value of a company's assets minus its liabilities, often used to determine a company's value should it decide to liquidate.

Partnership Assets

Assets that are owned by a partnership and used in the operation of the business.