Author Question: The City of Ruth has been awarded a 1,000,000 federal reimbursement grant to improve bike trails. ... (Read 34 times)

NguyenJ · **on:** Jul 6, 2018

The City of Ruth has been awarded a 1,000,000 federal reimbursement grant to improve bike trails. The city has incurred 418,000 of qualifying expenditures to date, for which the federal government has reimbursed the city 180,000 .

How much should the city of Ruth show as due from the federal government?
A. 820,000.
B. 582,000.
C. 418,000.
D. 238,000.

Question 2

Which of the following statements is true concerning accounting and financial reporting practices related to capital asset acquisitions?

A. Routine capital purchases such as vehicles and equipment often may be financed and accounted for in a General Fund.
B. Most capital lease transactions related to governmental funds are accounted for in either the General Fund or a Debt Service Fund.
C. Capital Project Funds may be used only for acquisition or construction of major capital facilities.
D. Most capital projects last only for on fiscal year.