Exam 1

Question 1

The fund that accounts for day-to-day services provided by government. (only financial assets, short-term liabilities, and maturing long-term liabilities)

Answer 1

Governmental Fund

Question 2

The fund that accounts for government activities that operate in a manner similar to the private sector enterprises. (All assets and liabilities)

Answer 2

Proprietary Fund

Question 3

The fund that accounts for resources held in trust. (All assets and liabilities)

Answer 3

Fiduciary Fund

Question 4

A fiscal and accounting entity with a self-balancing set of accounts recording cash and other financial resources.

Answer 4

Fund Accounting

Question 5

What is the (1)basis of accounting, (2) measurement focus, and (3) fund types of Governmental Funds?

Answer 5

1. Accrual and Modified Accrual
2. Current financial resources (Cash inflows and outflows)
3. GF, SRF, DSF, CPF, and PF

Question 6

What is the (1)basis of accounting, (2) measurement focus, and (3) fund types of Proprietary Funds?

Answer 6

1. Accrual
2. Economic resources
3. IF and EF

Question 7

What is the (1)basis of accounting, (2) measurement focus, and (3) fund types of Fiduciary Funds?

Answer 7

1. Accrual
2. Economic resources
3. Pension, investment trust, private-purpose trust, and custodial

Question 8

What are the financial statements for Governmental Funds?

Answer 8

Balance Sheet and Statement of revenues, expenditures, and changes in fund balance

Question 9

What are the financial statements for Proprietary Funds?

Answer 9

Statement of net position, statement of cash flows, and statement of revenues, expenses, and changes in net position

Question 10

What are the financial statements for Fiduciary Funds?

Answer 10

Statement of changes in fiduciary net position, and statement of fiduciary net position

Question 11

What is the Governmental-type funds accounting equation?

Answer 11

Financial resources = (short-term liabilities and matured long-term liabilities + Fund balance)

Question 12

Revenues and amounts available from previously
accumulated fund balance equal the appropriations. (State and municipalities are required to have this)

Answer 12

Balanced Budget

Question 13

What are the 3 approaches to budgetary?

Answer 13

1. Object-of-expenditure
2. Performance and planning-programming budget
3. Zero-based Budgeting

Question 14

Data may be used to supplement budget requests
to show expected accomplishments. What is this called?

Answer 14

Service Efforts and Accomplishments (SEA)

Question 15

SEA data may include (4 things)

Answer 15

1. Description of Function
2. Inputs
3. Outputs
4. Outcomes

Question 16

What are 5 revenue classifications?

Answer 16

1. Taxes
2. Charges for service
3. Fines and forfeitures
4. Interests on investments
5. Fees for permits and licenses

Question 17

What are the 5 subclassifications for expenditures? (largest to smallest)

Answer 17

1. Fund
2. Function/program
3. Organizational Unit
4. Activity
5. Object

Question 18

What is the operating environment for governments/nonprofits?

Answer 18

To provide services to constituents

Question 19

What are the users of information regarding governmental/nonprofit entities?

Answer 19

Internal users (managers) and external users (resource providers, oversight bodies, and service recipients)