Expenditures under modified accrual accounting are recognized when current fund liabilities are incurred.

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Expenditures under modified accrual accounting are recognized when current fund liabilities are incurred. This means that expenditures are recognized when goods or services are received or consumed, or when funds are due and payable. This method of accounting differs from full accrual accounting, where expenditures are recognized when goods or services are received, regardless of when payment is made.

Expenditures Under Modified Accrual Accounting Are Recognized When Current Fund