Choice "A" is correct. Enterprise funds record and depreciate their own fixed assets in a manner consistent with the economic resources measurement focus and accrual accounting.Choice "b" is incorrect. Enterprise funds record and depreciate their own fixed assets. Enterprise funds are proprietary funds and they apply the economic resources measurement focus and use accrual accounting. To record the purchase of capital equipment as an expenditure would be consistent with the current financial resources measurement focus used by governmental funds and would represent an application of the modified accrual basis of accounting.Choice "d" is incorrect. Enterprise funds record and depreciate their own fixed assets in a manner consistent with the economic resources measurement focus and accrual accounting. Depreciation is not optional.Choice "c" is incorrect. Enterprise funds record and depreciate their own fixed assets in a manner consistent with the economic resources measurement focus and accrual accounting. Depreciation is required.