Q1

closer control is maintained over expenditures by using appropriation, encumbrances, and allotments.

a.

False

b.

True

Governmental units have the right to seize property for nonpayment of taxes, but they are often unwilling to do this, especially when the property is residential property.

a.

True

b.

False

The Fund balance account of a governmental unit can be equated to the retained earnings account of a commercial enterprise

a.

TRUE

b.

FALSE

When management set up the Allowance for uncollectible property tax is recorded on the credit side of the entry.

a.

False

b.

True

Measurement focus is a timing concept. It relates to when the assets, liabilities, revenues, and expenses are recognized.

a.

TRUE

b.

FALSE