Question
21. A county previously encumbered $25,000 for the acquisition of supplies. The supplies were received at a total cost of $24,000. To recognize this event
21. A county previously encumbered $25,000 for the acquisition of supplies. The supplies were received at a total cost of $24,000. To recognize this event the county should make which of the following entries?
A. | Debit Encumbrances $24,000; Credit Reserve for Encumbrances $24,000 | |
B. | Debit Encumbrances $25,000; Credit Reserve for Encumbrances $25,000 | |
C. | Debit Reserve for Encumbrances $24,000; Credit Encumbrances $24,000 | |
D. | Debit Reserve for Encumbrances $25,000; Credit Encumbrances $25,000 |
22. Under GASB, in order for an art collection to avoid being capitalized, it needs to satisfy three conditions. Which of the following is not one of these conditions?
A. | They are subject to a policy that requires the proceeds from the sale of collection items to be used to acquire other items for the collection. | |
B. | They are appraised within every three year period | |
C. | They are protected and preserved | |
D. | They are held for public exhibition |
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started