Which line item would not properly appear in the closing entry of a governmental fund?
A)expenditures-public safety salaries
B)expenditures-debt service
C)fund balance
D)expenditures-depreciation

Question

Quizplus · Accepted Answer

Depreciation is not a cash outflow and therefore doesn't require a closing entry. It is recorded as an expense on the income statement, but it does not affect the fund balance or require a closing entry.

Which Line Item Would Not Properly Appear in the Closing