Use the following choices to fill in the blanks below:

a. modified accrual

b. accrual

c. cash

1. Under the _______________ method of accounting, expenses are recognized when assets are used up, while under the ____________ method, expenditures are recognized when the assets are purchased.

2. The local government’s water enterprise fund utilizes the __________ method of accounting because it is run like a business.

Answer rating: 100% (QA)

1 Under the Accrual method of accounting expenses are recognize... View the full answer