Question

Expenditures of a governmental unit for insurance extending over more than one accounting period: Group of answer choices Must be accounted for as expenditures of the period of acquisition. May be allocated between or among accounting periods or may be accounted for as expenditures of the period of acquisition. Must be allocated between or among accounting periods. Must be accounted for as expenditures of the periods subsequent to acquisition.

Answer 1

Answer:

Expenditures of a governmental unit for insurance extending over more than one accounting period May be allocated between or among accounting periods or may be accounted for as expenditures of the period of acquisition.

Explanation:

It is never wrong to document expenditures in real time with definite data such as date, details of expenditure and the costs entered correctly.

Therefore, if the expenditures of a governmental unit for insurance extends over more than one accounting period, it may be accounted for as expenditures of thee period of acquisition.

Since the expenditure spills over to another accounting period, it may also be located between or among the accounting periods it falls on.