--%>

Explain Encumbrance

Encumbrance: The commitment of all or portion of an appropriation for future expenses. The Encumbrances symbolize commitments associated to unfilled purchase orders or unfulfilled contracts. Exceptional encumbrances are recognized as budgetary expenses in the department’s budget documents and annual financial reports. For budgeting aims, the Department of Finance builds a statewide adjustment to eradicate encumbrances from overall General Fund expenditures and exhibit the amount as a reserve in the fund balance, in accordance with Government Code section 13307. For another funds, like encumbrance adjustments are not made, and encumbrances are treated as budgetary expenditures which reduce the fund balance.

   Related Questions in Finance Basics

  • Q : Define Legislature Legislature,

    Legislature, California: Two-house bodies of elected representatives vested with the accountability and power to make laws affecting the state (that is, except as limited by the veto power of the Governor).

  • Q : Examples of high debt levels companies

    Give two instances of types of companies which would be best able to handle high debt levels.Companies which handle local telephone service and those which handle natural gas delivery to consumers would be assumed to comfortably be able to handl

  • Q : Finance powerpoint Hi, I am a

    Hi, I am a management student studying in a business school. I have given a case study (attached below in PDF) as evaluation. I was able to get an English version but since i am not familiar with the subject i don't know how to solve this. I would like to know if you can provide any solution f

  • Q : Define Limited-Term Position

    Limited-Term Position (LT): Any place that has been authorized only for a particular length of time with a set termination date.Limited-term positions might be authorized throughout the budget procedure or in transactions approved by the D

  • Q : Describe Schedule 8 Schedule 8 : A

    Schedule 8: A detailed listing produced from the State Controller's Office payroll records for a department of its past, present, and budget year positions as of June 30 and updated for the July 1. This listing should be reconciled with each and every

  • Q : Explain compound interest Normal 0

    Normal 0 false false

  • Q : Bonds and coupon rate Staind, Inc., has

    Staind, Inc., has 8 percent coupon bonds on the market that have 15 years left to maturity. The bonds make annual payments. If the YTM on these bonds is 9 percent, what is the current bond price?

  • Q : Question related to MPC Normal 0 false

    Normal 0 false false

  • Q : How are financial trades made in an

    How are financial trades made in an over the counter market?On the contrary to the organized exchanges that have physical locations, the over the counter market contain no fixed location, or more accurately, it is everywhere. The over the counte

  • Q : How do mergers influence communities

    How do mergers influence communities?While a locally controlled bank is merged into a bank headquartered elsewhere (an out-of-market merger), some of the apprehension regarding the institution's future commitment to the local community is bound