Question

Which statement about an individually billed account (IBA) is true?

A. Regardless of reimbursement status, travelers must pay the bill on time.
B. Travelers can use IBAs for official and personal expenses on official travel.
C. Full, on-time payment of an IBA bill is primarily the Government's responsibility.
D. Travelers have the option to make a minimum payment or to pay the bill in full.

Answer 1

The true statement about an individually billed account (IBA) is that travelers must pay the bill on time, regardless of reimbursement. IBAs must be used for official travel expenses only, and full on-time payment is the traveler's responsibility. The correct option is A. Regardless of reimbursement status, travelers must pay the bill on time.

Step-by-step explanation:

The statement about an individually billed account (IBA) that is true is A. Regardless of reimbursement status, travelers must pay the bill on time. An IBA is a type of account used by government employees when traveling for official business.

The responsibility for making full, timely payments to the IBA lies with the individual traveler and not with the government.

Although the traveler may be reimbursed for official expenses, it is their obligation to ensure that the account is settled as per the agreed terms. Using an IBA for personal expenses is not permitted, and only official travel expenses should be charged to this account.

As an example of managing expenses during official travel, consider the scenario of cruise ship guests who conduct onboard transactions on a cashless basis and pay one cumulative bill at the end of the journey.

Similarly, a government employee using an IBA must keep track of official expenses incurred during travel and promptly pay off the bill to avoid any financial complications, regardless of whether they have received reimbursement from their agency. The correct option is A. Regardless of reimbursement status, travelers must pay the bill on time.