At What Point Would the General Fund Account "Reserve for Encumbrances

question 75

Multiple Choice

At what point would the general fund account "reserve for encumbrances" be debited?

• A) When an item is ordered by the government
• B) When an authorized liability is incurred (government receives item)
• C) When cash is paid to the vendor
• D) (A) or (B) depending on authorized appropriations

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Definitions:

Ambulatory Surgery

Surgical procedures performed on patients who are admitted and discharged on the same day.

Cyst Removal

A surgical procedure aimed at removing cysts, which are enclosed sac-like structures that may contain liquid, semisolid, or gaseous material.

Splinting

A medical procedure that involves the application of a stiff material to an area of the body to immobilize it, allowing for proper healing of injuries.

Abdominal Incision

A surgical cut made in the abdomen, either for medical procedures or for access to internal organs.