A method of accounting for infrastructure assets that allows the expensing of all maintenance costs each year instead of computing depreciation is called:
A) Government-wide depreciation.
B) Proprietary depreciation.
C) GASB depreciation.
D) Modified approach.
E) Alternative depreciation.

Question

Quizplus · Accepted Answer

The modified approach allows governments to expense all maintenance costs each year for infrastructure assets, instead of using depreciation, provided they meet certain conditions set by the Governmental Accounting Standards Board (GASB).

A Method of Accounting for Infrastructure Assets That Allows the Expensing