The Modified Accrual Basis Is a Distinct System of Accounting

question 71

Multiple Choice

The modified accrual basis is a distinct system of accounting that:

• A) Differs from accrual accounting only in its failure to recognize long term assets and liabilities.
• B) Records expenditures and fund balances.
• C) Records expenses and revenues the same as accrual accounting
• D) Is equivalent to cash basis accounting