Reference no: EM13872667

(True or False)
State whether the following assertions are true or false. If false, explain why.
1. Depreciation of general property, plant, and equipment is reported as an expense in the consolidated U. S. government statement of net cost, but not in the statement of net cost prepared by individual agencies.
2. Abraham Lincoln face appears on Mount Rushmore, but Mount Rushmore cost does not appear on the face of the consolidated U. S. balance sheet.
3. A year to year increase in an agency liability for vacation leave may not be accrued in the agency proprietary accounts unless sufficient budgetary resources are available to finance the accrual.
4. The ending balance in the account Expended appropriations is used to report a financing source in an agency statement of changes in net position.
5. The ending balance in the account Delivered orders obligations, unpaid remains open at year end because it is available for payment in the following year: however, the ending balance in the account Undelivered orders obligations, unpaid is closed out because it is not available for payment in the following year.
6. In the federal government, trust funds are accounted for separately from other funds, but they are not fiduciary in nature, so the federal government may borrow from them.