The CICA Handbook Requires Large Not-For-Profit Organizations to ________

question 3

Multiple Choice

The CICA Handbook requires large not-for-profit organizations to ________.

• A)immediately write-off the capital assets
• B)capitalize, but not amortize the capital assets
• C)capitalize and amortize the capital assets
• D)only disclose the capital assets in the notes to the financial statements

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Definitions:

Identifiable

Capable of being recognized and distinguished from others, often used in accounting and finance to describe assets that can be attributed to a particular entity.

Cash Flows

The inflows and outflows of cash and cash equivalents, representing the operating, investing, and financing activities of a business.

Operating Activities

Transactions and events related to the primary activities of a business, such as selling products or services, that affect the operational cash flow.

Cash Flow Statement

A financial statement that provides aggregate data regarding all cash inflows and outflows a company receives from its ongoing operations, investment, and financial activities.