FiltersDone

Question type

Essay

Multiple Choice

Short Answer

True False

Matching

Exam 4: Accounting for Governmental Operating Activities-Illustrative Transactions and Financial Statements

Show Answer

Share

---

All types

Filters

Study FlashcardsPractice ExamLearn

Question 1

True/False

Review LaterAdd Note

Review Later

The General Fund gives assets to the internal service fund that the internal service fund is not expected to repay.The transaction would be recorded as an interfund transfer.

Correct Answer

verified

True

Question 2

True/False

Review LaterAdd Note

Review Later

Under the dual-track accounting approach used in this text,recording the annual budget for the General Fund requires journal entries in the general journals of both the General Fund and governmental activities at the government-wide level.

Correct Answer

verified

Show Answer

Question 3

True/False

Review LaterAdd Note

Amounts due to or from other funds should be eliminated from government fund financial statements so that the statements show only the receivables from and payables to entities external to the government.

Which of the following transactions is classified as an exchange transaction rather than a nonexchange transaction?

Which of the following would properly be reported in the operating statement of a governmental fund?

Governments,unlike business organizations,generally do not incur expenditures/expenses for the employer's share of FICA taxes and for contributions to other retirement plans established by law.

The Governmental Activities column of the government-wide statement of net position differs from the General Fund balance sheet in that it reports both current and noncurrent assets and liabilities.

If the actual liability for goods received in the current year differs from the estimated liability recorded when the goods were ordered in the prior year,the Encumbrances account should be credited in the amount of the estimated liability.

A gas tax that is restricted for use on street construction and maintenance projects should be recorded as general revenues in the governmental activities journal.

Revenues that are legally restricted to be expended for specified operating purposes should be accounted for in special revenue funds,including

To properly account for the receipt of goods or services ordered in a prior fiscal year,it is necessary to know which appropriations were affected when the encumbrance documents were issued.

The General Fund has transferred cash to the appropriate fund for eventual retirement of term bonds maturing in 10 years.Which funds would record this transaction?

In fiscal year 2014 the "Expenditures-2013" account represents

Property taxes due and collectible 90 days after the 2014 fiscal year end would be recorded as revenues in 2014 in which journal?

Encumbrances Outstanding is shown on the balance sheet as a restriction on fund balance.

Which of the following is not a program revenues classification used in the governmental activities journal and reported in the government-wide statement of activities?

The Encumbrances Outstanding account is properly termed a

All revenue and interfund transfers of the City of Fenton are accounted for on the modified accrual basis.Below is shown a list of Fenton's General Fund transactions of a revenue or transfer nature.State which ones should be recognized by the General Fund as a revenue or interfund transfer in the year of occurrence.If any item is neither a current revenue nor interfund transfer,state the proper treatment for that item. 1)Receipt of money from issue of tax anticipation notes. 2)Charge to a special revenue fund for supplies transferred to it at cost. 3)Collection of current-year property taxes. 4)Collection of prior years' taxes. 5)Receipt of money in prepayment of a property owner's next-year taxes. 6)Collection of taxes applicable to prior year that,due to an assessor's error,had not been recorded as receivable in that year. 7)Receipt of refund on prior year's expenditures. 8)Refund of current year's expenditures. 9)Collection of accounts receivable for charges for services. 10)Collection of taxes that had been written off in prior year.

The government-wide statement of net position uses the same measurement focus and basis of accounting used by the General Fund balance sheet.

A contribution was received by the city for playground equipment.The contribution would not be recognized as revenues by the General Fund until the playground equipment has been purchased.