Under the dual-track accounting approach used in the text,which of the following transactions or events would be recorded in the general journal for governmental activities at the government-wide level?
A)Recording the annual budget,property tax levy,and payroll.
B)Recording the property tax levy,issuance of tax anticipation notes,and accrual of interest on long-term debt at year-end.
C)Recording the property tax levy,payroll,and encumbrances for purchase orders.
D)Recording the property tax levy,encumbrances for purchase orders,and payment of interest on long-term debt.

Question

Quizplus · Accepted Answer

The dual-track accounting approach separates transactions/ events into either governmental or business-type activities. At the government-wide level, transactions/ events related to governmental activities would be recorded in the general journal. Choice (B) includes transactions related to property tax levy, tax anticipation notes issuance, and accrual of interest on long-term debt, which are all government activities and would be recorded in the general journal. Choices (A), (C), and (D) include transactions that may be related to either governmental or business-type activities or business-type activities only, which would not be recorded in the general journal for governmental activities at the government-wide level.

Under the Dual-Track Accounting Approach Used in the Text,which of the Following