Under the modified accrual basis of accounting, revenues should be recognized when
A) Earned.
B) Collected in cash.
C) Authorized by the budget ordinance.
D) Measurable and available.

Question

Quizplus · Accepted Answer

Under the modified accrual basis of accounting, revenues are recognized when they are both measurable and available to finance the expenditures of the current period. This approach is commonly used in governmental accounting.

Under the Modified Accrual Basis of Accounting, Revenues Should Be