When a capital lease is used to lease fixed assets for the general government,the governmental fund acquiring the fixed assets debits ________ at the ________.

Question

Quizplus · Accepted Answer

In governmental accounting, when a capital lease is used to acquire fixed assets, the governmental fund records the acquisition as an expenditure at the present value of the lease payments. This approach reflects the current financial obligation incurred by the government.

When a Capital Lease Is Used to Lease Fixed Assets