For Government-Wide Financial Statements, What Account Is Credited When a Piece

question 9

Multiple Choice

For government-wide financial statements, what account is credited when a piece of equipment is leased on a capital lease?

• A) Equipment-Capital Lease
• B) Encumbrances-Long Term
• C) Encumbrances-Lease Obligations
• D) Capital Lease Obligation
• E) The lease is not recorded.

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Definitions:

Corporate Strategy

The overarching plan of action that determines the direction of an enterprise and its goal of creating, maintaining, and developing a competitive advantage.

HR Strategy

An organizational plan focusing on the management and development of human resources to achieve business objectives.

Organizational Strategy

A high-level plan to achieve one or more goals under conditions of uncertainty.

Internal Fit

The alignment between an organization’s strategies, practices, and the characteristics of its internal environment.