The Modified Accrual Basis Is a Distinct System of Accounting

question 11

Multiple Choice

The modified accrual basis is a distinct system of accounting that:

• A) Differs from accrual accounting only in its failure to recognize long term assets and liabilities.
• B) Records expenses and revenues the same as accrual accounting.
• C) Records expenditures and fund balances.
• D) Is equivalent to cash basis accounting

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Definitions:

Achievement-motivated

Characterizes individuals who are driven by the desire to accomplish significant tasks, solve problems, and achieve high standards of success.

Services

Economic activities offered by one party to another, often involving a form of work done for customers without the production of physical goods.

Success

Success refers to the achievement of a desired aim or outcome, often measured by accomplishing goals, accruing wealth, or receiving recognition.

Ideals-motivated

Driven by high standards or principles, often relating to ethical, moral, or perfectionist goals rather than practical considerations.