Author Question: A city receives a donation of land from one of its citizens to be used as a park. How should the ... (Read 107 times)

Melani1276 · **on:** Jul 5, 2018

A city receives a donation of land from one of its citizens to be used as a park. How should the donation be recognized by the government?

A. In the General Fund as a Special Item-Donation and in the General Capital Assets accounts.
B. In the General Fund an Other Financing Source-Donation and in the General Capital Assets accounts.
C. Only in the General Fund as Revenues-Other.
D. Only in the General Capital Assets accounts.

Question 2

Prepaid expenses are an example of an expense.
a. True
b. False

Indicate whether the statement is true or false