The accounting equation applied by state and local governments is
A)Assets + deferred inflows of resources - liabilities = fund balance
B)Assets + deferred outflows of resources - liabilities - deferred inflows of resources = fund balance
C)Assets + deferred inflows of resources = liabilities + deferred outflows of resources + fund balance
D)Assets - deferred outflows of resources - liabilities + deferred inflows of resources = fund balance

Question

Quizplus · Accepted Answer

The accounting equation for state and local governments includes deferred outflows and inflows of resources, which adjust the traditional equation to reflect these additional financial elements.

The Accounting Equation Applied by State and Local Governments Is