Required: Act as though you are a local government accountant, and your town is

Question

Required: Act as though you are a local government accountant, and your town is adopting this guidance for the first time. Write a brief email (or memo) to your accounting supervisor explaining the requirement from the GASB Codification that requires infrastructure to be capitalized, and explain the options available for subsequently measuring infrastructure (depreciation versus the modified method). Emphasize that the town must select between these two options, and include your recommendation. Cite from authoritative literature as support for your email.

Explanation / Answer

Capital assets, in general, should be accounted for in accordance with generally accepted accounting principles (GAAP).

Related Questions

Navigate

• Browse (All)
• Browse R
• Subjects

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.