GOV-Fund F/S

Question 1

For which of the following funds do operating transfers affect the results of operations?

Answer 1

Governmental funds, yes; Proprietary funds, yes

Question 2

GASB I60, Investments—Securities Lending, states that a government that (1) loans securities to a broker-dealer and (2) receives collateral in the form of other securities that the government cannot pledge or sell without borrower default should report:
I.the securities lent as assets.
II.the collateral received as assets.
III.a liability for the government’s obligation to return the collateral securities.

Answer 2

I.the securities lent as assets.

Question 3

The basic financial statements of a general purpose government should include:

Answer 3

government-wide financial statements, fund financial statements, and the notes to the financial statements.