Governmental Fund Financial Statements Are to Be Prepared on the Accrual

question 126

True/False

Governmental fund financial statements are to be prepared on the accrual basis of accounting.

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Definitions:

Egocentric Bias

Egocentric bias is the tendency for people to rely excessively on their own perspective and/or have a higher regard for their own attributes or abilities when analyzing situations or making decisions.

Illusory Correlation

A cognitive bias where a relationship between two variables is perceived despite no such association existing.

False Cause

Refers to a logical fallacy where it is assumed that because one event follows another, the first event caused the second.

Appeal to Ignorance

A logical fallacy that occurs when one argues that a proposition must be true because it has not been proven false or vice versa.