When Are the Entries to Convert Modified-Accrual Statements to Accrual

question 134

Multiple Choice

When are the entries to convert modified-accrual statements to accrual statements posted in the individual fund general ledgers?

• A) After you have completed all adjustments
• B) After the closing entries
• C) After preparing the government wide statement
• D) None of the above, they are not posted

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Definitions:

Internal Rate of Return

A financial metric used to evaluate the profitability of an investment, calculated as the discount rate that makes the net present value of all cash flows equal to zero.

Present Value

The present financial value of a future money amount or stream of cash flows, calculated using a specific rate of return.

Annual Net Cash Flows

The amount of cash a company generates after all its expenditures, both operational and capital in nature, have been paid off within a fiscal year.

Average Rate of Return

A financial metric used to calculate the average annual return on an investment or project over its lifetime.