Which of the Following Describes How a Governmental Fund (E

question 73

Multiple Choice

Which of the following describes how a governmental fund (e.g.general fund) accounts for a capital lease?

• A) noncurrent liability
• B) bond accounting
• C) an asset and a lease liability
• D) none of the above identifies the appropriate way to account for a capital lease.

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Definitions:

Standard Deviation

A measure of the amount of variation or dispersion of a set of values, used in statistics to quantify the variance from the mean.

Bullwhip Effect

The phenomenon where variations in demand at the retail level cause progressively larger fluctuations in demand at the wholesale, distributor, manufacturer, and raw material supplier levels.

Shortage Gaming

A strategy used in supply chain management where participants may exaggerate their needs to avoid stockouts, often leading to inefficiencies or distortions in supply chains.

Bullwhip Effect

A phenomenon in supply chain management where small fluctuations in demand at the retail level cause progressively larger fluctuations in demand at the wholesale, distributor, and manufacturer levels.