Which statement about fiscal accountability is true?

• A. An appropriation that is no longer available for any purpose.
• B. An appropriation available for current operations.
• C. An appropriation with remaining balance.
• D. An appropriation used for restricted projects only.

Answer: (A)

Fiscal accountability hinges on knowing whether funds are still usable and tracking the availability status of each appropriation. When an appropriation is no longer available for any purpose, it has lapsed, meaning no further obligations or expenditures may be charged to it and the funds must be closed out or handled as permitted by law. This reflects accountability because it enforces spending only what has been authorized and keeps the financial records accurate about what can still be used. Being available for current operations simply means the funds can be spent now, which describes availability but not the accountability status by itself. An appropriation with a remaining balance indicates funds still exist, but it doesn’t explain whether those funds are properly obligated or whether the balance is fully usable. An appropriation restricted to certain projects only imposes use limitations rather than describing whether the appropriation is still usable at all. Therefore, the statement about an appropriation no longer available for any purpose best captures the accountability principle.