Which of the Following Accounting Methods Is Most Consistent with the Budgetary

question 19

Multiple Choice

Which of the following accounting methods is most consistent with the budgetary spending limits that governmental managers must manage?

• A)Disbursement basis
• B)Expenditure basis
• C)Accrual basis
• D)Cash basis

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Definitions:

Labor

The measure of the work done by human beings in the economy, often referred to in terms of hours worked or total workforce.

Capital

Refers to the financial assets or resources that businesses use to fund their operations and grow, including cash, equipment, and buildings.

Increasing Returns

A concept in economics where an increase in the scale of production leads to a greater than proportional increase in output.

Copper Mines

Sites or locations where copper ore is extracted from the earth for commercial value and industrial use.