Under the Modified Accrual Basis of Accounting

question 10

Multiple Choice

Under the modified accrual basis of accounting

• A)expenditures are recognized when paid in cash if not previously encumbered
• B)property tax revenues are recognized when earned
• C)property tax revenues are recognized when measurable and available
• D)encumbrances are equivalent to expenditures

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Definitions:

Intertype Competition

Competition between very dissimilar types of retail outlets that results from a scrambled merchandising policy.

Scrambled Merchandising

Offering several unrelated product lines in a single store.

Hypermarkets

Large retail stores that combine a supermarket and a department store, offering a wide range of products under one roof.

Carrefour

A French multinational retail corporation and one of the largest hypermarket chains in the world, offering a wide range of products including groceries, clothing, and electronics.