In accounting for state and local governments the modified accrual basis is required for
A) Proprietary and fiduciary funds.
B) Governmental funds only.
C) Proprietary funds only.
D) All funds.

Question

Quizplus · Accepted Answer

The modified accrual basis is required for accounting for state and local governmental funds only. This includes the general fund, special revenue funds, debt service funds, capital projects funds, and permanent funds. Proprietary and fiduciary funds use the full accrual basis.

In Accounting for State and Local Governments the Modified Accrual