Property Taxes,special Assessments,and Fines and Forfeits Are Types of Nonexchange

question 117

Multiple Choice

Property Taxes,special assessments,and fines and forfeits are types of nonexchange transactions,and assets should be recognized when an enforceable legal claim exists,or when the resources are received,whichever is first.These are examples of:

• A) Government-mandated nonexchange transactions.
• B) Imposed nonexchange transactions.
• C) Deferred tax revenues.
• D) Voluntary nonexchange transactions.

Understand the concept of insurable interest and its significance in insurance contracts.

Identify the coverage scope of business interruption insurance.

Recognize the decision-making power of the insured and insurer regarding repairs or replacements of damaged goods.

Comprehend the benefits of bundling types of liabilities in insurance for economic efficiency.