A City's General Fund General Ledger Includes Accounts Called Estimated

Multiple Choice

A city's General Fund general ledger includes accounts called Estimated Revenues, Appropriations, and Encumbrances. This indicates that the city

A) Formally integrates its budget into its accounts.
B) Uses a cash plus encumbrances basis of accounting.
C) Maintains its accounts on an accrual basis.
D) Erroneously reports encumbrances as expenditures.