1. Discuss the differences between a capital lease and an operating lease. Review the financial statements of local governmental or not-for-profit entities and find an example of each lease type. Your response should include details of each lease, the name of the entity, and advantages/disadvantages to the organization.

2. Because a levy of property taxes creates a lien on taxable property, there is no need to reduce anticipated revenues for uncollectible amounts or to write off delinquent taxes. Do you agree or disagree with this statement? Why or why not