What component is NOT included in the calculation of capital assets for the government-wide statement?

The calculation of capital assets in the government-wide financial statements focuses primarily on the acquisition, value, and reduction of capital assets over time. This includes components such as beginning capital assets, which serve as the starting point for tracking changes in value, capital acquisitions that reflect new investments in capital assets, and depreciation, which accounts for the systematic allocation of the cost of tangible assets over their useful lives.

Operational expenses, on the other hand, are not included in the calculation of capital assets as they relate to the day-to-day running of government operations rather than the acquisition or maintenance of long-term assets. These expenses cover costs such as salaries, utilities, and supplies, which do not directly impact the valuation or calculation of capital assets on a balance sheet. Therefore, operational expenses are distinctly separate from capital assets in financial reporting for governmental entities.