How should a capital lease for a general capital asset be recorded in the General Fund accounts at the inception of the lease?
A) Debit to a capital asset account.
B) Debit to a capital expenditure account.
C) Credit to Capital Lease Obligations Payable.
D) Both A and C are correct.
Correct Answer:
Verified
Q44: Transfers from the General Fund to the
Q48: Equipment that had been acquired several years
Q52: The following general capital assets were owned
Q52: Which of the following activities or transactions
Q53: In 2017,Sunrise City signed a contract in
Q55: To offset engineering and design costs incurred
Q56: The following balances are included in the
Q58: A government enters into a capital lease
Q59: Which of the following statements is correct
Q59: A government enters into a capital lease
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents