Which of the following statements is not a true statement about expenses that are directly related to a government function or program?
A) They are reported in the government-wide statement of activities at the government-wide level.
B) They include expenses that are specifically associated with a function or program.
C) They include interest on general long-term liabilities.
D) They include depreciation expense on capital assets that are clearly identified with a function or program.

Question

Quizplus · Accepted Answer

Interest on general long-term liabilities is a financing expense and is not directly related to a government function or program. Therefore, it is not included as an expense directly related to a government function or program.

Which of the Following Statements Is Not a True Statement