1. The members of the Museum Board of the City of Springfield are appointed by the City of Springfield City Council, which has agreed to finance any operating deficits of the museum. Under these conditions:a. The museum is a primary government. b. The city and the museum together are a financial reporting entity. c. The museum is a special district. d. The museum is a component unit of the city.2 Interim government financial reports:a. Are not necessary because administrators and managers of the government are already familiar with the events andactivities of the government on a day to day basis. b. Should be prepared and distributed publicly at regular intervals. c. Are important for budgetary and cash management purposes. d. Are not necessary as long as the government prepares a comprehensive annual financial report [CAFR].3. The comprehensive annual financial report (CAFR) of a governmental reporting entity should contain a statement ofcash flows for:

When earning simple interest on money you invest, which statement is true? a. as time goes on and your bank account grows, you earn more interest. b. as time goes on and your bank account grows, you earn less interest. c. as time goes on and your bank account grows, you earn the same amount of interest. d. as time goes on and your bank account grows, you stop earning interest.

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About time delivery co. incurred the following costs related to trucks and vans used in operating its delivery service: classify each of the costs as a capital expenditure or a revenue expenditure. 1. changed the oil and greased the joints of all the trucks and vans. 2. changed the radiator fluid on a truck that had been in service for the past four years. 3. installed a hydraulic lift to a van. 4. installed security systems on four of the newer trucks. 5. overhaul the engine on one of the trucks purchased three years ago. 6. rebuilt the transmission on one of the vans that had been driven 40,000 miles. the van was no longer under warranty. 7. removed a two-way radio from one of the trucks and installed a new radio with a greater range of communication. 8. repaired a flat tire on one of the vans. 9. replaced a truck's suspension system with a new suspension system that allows for the delivery of heavier loads. 10. tinted the back and side windows of one of the vans to discourage theft of contents.