Final answer:
The modified accrual basis focuses on short-term financial resources and cash flows, while the full accrual basis considers all economic resources and obligations.
Step-by-step explanation:
The modified accrual basis/current financial resources measurement and the full accrual basis/economic resources accounting methods are two different approaches to recording and reporting financial transactions.
The modified accrual basis focuses on short-term financial resources and emphasizes cash flows and near-term obligations. It is commonly used by government entities and non-profit organizations.
The full accrual basis, on the other hand, considers all economic resources and obligations, both short-term and long-term. It is used by most businesses and provides a more comprehensive view of an entity's financial position and performance.