Author Question: A county uses the consumption method in accounting for insurance premium prepayments. At the ... (Read 47 times)

ahriuashd · **on:** Jul 5, 2018

A county uses the consumption method in accounting for insurance premium prepayments. At the beginning of the fiscal year, the county paid a 24,000 insurance premium to cover the current year and the subsequent fiscal year.

At the end of the current year, the county will report in its General Fund
A. Expenditures of 24,000.
B. Expenditures of 12,000 and a 12,000 prepaid asset.
C. A 24,000 prepaid asset.
D. Other financing use of 24,000.

Question 2

Generally, which of the following is NOT one of the three roles an accountant typically fills in relation to the AIS?
a. designer
b. programmer
c. user
d. auditor