Which basis of accounting is used by Enterprise Funds?
A)full accrual
B)modified accrual
C)cash
D)modified cash

Name: Which basis of accounting is used by Enterprise Funds? A)full accrual B)modified accrual C)cash D)modified cash
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Question

Quizplus · Accepted Answer

Enterprise Funds use the full accrual basis of accounting, which means they recognize revenues when they are earned and expenses when they are incurred, regardless of when cash is received or paid. This approach is similar to accounting practices in the private sector.

Which Basis of Accounting Is Used by Enterprise Funds