Which of the Following Is Not True Regarding Enterprise Funds

question 121

Multiple Choice

Which of the following is not true regarding enterprise funds?

• A) Enterprise funds record long-term debt directly in the fund accounts.
• B) Enterprise funds record capital assets directly in the fund accounts.
• C) Enterprise funds report a Statement of Cash Flows.
• D) The difference between assets and liabilities of enterprise funds is called "Fund Balance."

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Definitions:

Cash Concentration

A treasury management strategy where a company consolidates its cash balances into one account to optimize liquidity and manage its cash more efficiently.

Main Bank Account

The primary checking or savings account used by an individual or business for managing their daily financial transactions and cash flow.

Multiple Accounts

Refers to having more than one account, often in financial or online contexts, to manage different aspects.

Disbursement Float

The time delay between when a check is written and when it is actually deducted from the payer's account.