When a Governmental Entity Adopts a Basis of Accounting Other

When a governmental entity adopts a basis of accounting other than full accrual and a measurement focus that excludes long-lived assets and liabilities in its governmental fund types:

A) It is in violation of the law.
B) It is in violation of GAAP.
C) It has reported in accordance with GAAP standards for the governmental fund financial statements required by the new GASB reporting model.
D) It has the ability to better measure the results of operations.

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