4

ff the governmental unit elects the modified approach to reporting infrastructure expenses, how are preservation costs (extends the useful life but not an mprovement) reported? a. revenue b. expenses c. capitalized and written off over the useful life d. capital projects fund e. expenditures The acquisition of capital assets by a capital projects fund would be shown as: a. expense b. short term asset (supplies) c. cannot have capital acquisitions in governmental funds d. expenditure e. long term asset