F10 Governmental Accounting Part 3

Question 1

What is the format for Net Position?

Answer 1

=Assets and deferred outflows of resources
- Liabilities and deferred inflows of resources

Question 2

The statement of net position is divided into 3 components. Name them.

Answer 2

1. Net investment in capital assets
2. Restricted
3. Unrestricted

Question 3

Interfund activities need to be ______ to avoid “grossing up” balances of assets and liabilities.

Answer 3

eliminated

Question 4

Government wide financials include all assets and liabilities under its’ control or responsibility. Are Fiduciary funds included? Which funds are included?

Answer 4

No. Component funds are included.

Question 5

The cost of capital assets should include ____ (all/partial) ancillary charges necessary to place asset into service.

Answer 5

All

Question 6

What are the categories of program revenue?

Answer 6

SOC: Services (charges for them), Operating (grants and contributions), Capital (grants and contributions)

Question 7

Revenue posted on full accrual basis. Example:

Answer 7

Ex. property tax revenue = $2M and is estimated that 1% uncollectible. Property tax revenue for CY is $2M-20K = 1,980,000

Question 8

In a proprietary fund, a issuance of debt and /or a retirement of debt is reported as a _______ cash flow activity. This is the same as GAAP commercial enterprises.

Answer 8

FINANCING

Question 9

What does the following describe:
1.# of categories in the CF stmt - Proprietary has 4 sections, GAAP has 3 sections
2. Interest and dividend is an investing activity for proprietary funds whereas commercial GAAP is an operating activity
3. Financing activities comes first before investing in Proprietary funds whereas Investing comes first in GAAP commercial.

Answer 9

Differences between the proprietary funds cash flow statement vs a for profit commercial GAAP cash flow stmt.