What do the total tangible capital assets indicate on a government's statement of financial position?
A)How much revenue the government must raise to cover its past spending
B)The government's ability to provide future services and programs
C)The government's financial position
D)The government's ability to raise revenues to meet its current year expenditures

Question

Quizplus · Accepted Answer

The total tangible capital assets on a government's statement of financial position indicate the government's ability to provide future services and programs. These assets represent the resources available to the government for long-term investments, such as infrastructure projects, that will benefit the community and contribute to economic growth. In other words, the total tangible capital assets provide a measure of the government's wealth and capacity to invest in the future.

What Do the Total Tangible Capital Assets Indicate on a Government's