Which of the Following Best Describes Standards for Reporting Expenses

question 42

Multiple Choice

Which of the following best describes standards for reporting expenses by function (such as instruction and research) or by natural classification (such as salaries and supplies) in the statement of activities prepared by colleges and universities?

• A)all expenses must be reported by function on the face of the statement.
• B)all expenses must be reported by natural classification on the face of the statement.
• C)they may report by either method on the face of the statements;if they report by natural classification on the face,they must report functional expenses in the notes.
• D)colleges and universities may report by either method on the face of the statement.

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Definitions:

Actively Process

Engaging in a dynamic and interactive manner to absorb, understand, and utilize information or materials in a deliberate and focused way.

Constantly Look

An ongoing effort or practice of being vigilant or observant, often in the context of identifying opportunities or threats.

Performance Threat

A situation or factor that has the potential to hinder the optimal performance of an individual or organization.

Actual Performance

is the real, measurable output or results achieved by an individual, team, or organization, as opposed to expected or projected outcomes.