Question 1

"Cash flows from noncapital financing activities" include which of the following as outflows

Accepted Answer

A) Repayment of bonds issued to finance construction of city hall. 
B) Deposits into investment pools. 
C) Loans to another fund of the same government . 
D) Grants made to other governments to support operating activities. 
A) Repayment of bonds issued to finance construction of city hall. 
B) Deposits into investment pools. 
C) Loans to another fund of the same government . 
D) Grants made to other governments to support operating activities.

Question 2

Governments are not required to incorporate proprietary fund budgets into the accounting system.

Accepted Answer

A) True 
 B)False

Question 3

In accounting for closure and postclosure landfill costs in an enterprise fund, a government does not necessarily have to "fund" the costs during the landfill's useful life; it merely has to report both an expense and a liability for them.

Accepted Answer

A) True 
 B)False

Question 4

In both the fund statements and the government-wide statements, business-type activities and internal service funds are on a full accrual basis, and their measurement focus is on all economic resources.

Accepted Answer

A) True 
 B)False

Question 5

Which of the following entities is required to use the direct method to report its cash flows?

Accepted Answer

A) City of Gaston Utility Fund. 
B) United Way. 
C) General Motors. 
D) Oak Grove Water Users Association. 
A) City of Gaston Utility Fund. 
B) United Way. 
C) General Motors. 
D) Oak Grove Water Users Association.

Question 6

A proprietary fund of a government has some donor-restricted assets.Which of the following best describes where and how those assets will generally be displayed in the fund's financial statements?

Accepted Answer

A) In a separate restricted asset category on the statement of net position. 
B) Intermingled with other assets on the statement of net position. 
C) Intermingled with other assets on the statement of net position, but footnoted. 
D) In a separate restricted fund.
Use the following information to answer #10 and #11.
Bowdon City voted to establish an internal service fund to account for its printing services.The city transferred $500,000 cash from the general fund to the newly created internal service fund. 
A) In a separate restricted asset category on the statement of net position. 
B) Intermingled with other assets on the statement of net position. 
C) Intermingled with other assets on the statement of net position, but footnoted. 
D) In a separate restricted fund.
Use the following information to answer #10 and #11.
Bowdon City voted to establish an internal service fund to account for its printing services.The city transferred $500,000 cash from the general fund to the newly created internal service fund.

"Cash flows from noncapital financing activities" include which of the following as outflows

Governments are not required to incorporate proprietary fund budgets into the accounting system.

In accounting for closure and postclosure landfill costs in an enterprise fund, a government does not necessarily have to "fund" the costs during the landfill's useful life; it merely has to report both an expense and a liability for them.

In both the fund statements and the government-wide statements, business-type activities and internal service funds are on a full accrual basis, and their measurement focus is on all economic resources.

Which of the following entities is required to use the direct method to report its cash flows?

A proprietary fund of a government has some donor-restricted assets.Which of the following best describes where and how those assets will generally be displayed in the fund's financial statements?

The Government and Not-For-Profit Environment

Fund Accounting

Issues of Budgeting and Control

Recognizing Revenues in Governmental Funds

Recognizing Expenditures in Governmental Funds

Accounting for Capital Projects and Debt Service

Capital Assets and Investments in Marketable Securities

Long-Term Obligations

Pensions and Other Fiduciary Activities

Issues of Reporting, Disclosure, and Financial Analysis

Not-For-Profit Organizations

Colleges and Universities

Health Care Providers

Managing for Results

Auditing Governments and Notforprofit Organizations

Federal Government Accounting

Filters

Exam 9: Business-Type Activities

"Cash flows from noncapital financing activities" include which of the following as outflows

Governments are not required to incorporate proprietary fund budgets into the accounting system.

In accounting for closure and postclosure landfill costs in an enterprise fund, a government does not necessarily have to "fund" the costs during the landfill's useful life; it merely has to report both an expense and a liability for them.

In both the fund statements and the government-wide statements, business-type activities and internal service funds are on a full accrual basis, and their measurement focus is on all economic resources.

Which of the following entities is required to use the direct method to report its cash flows?

A proprietary fund of a government has some donor-restricted assets.Which of the following best describes where and how those assets will generally be displayed in the fund's financial statements?

The Government and Not-For-Profit Environment

Fund Accounting

Issues of Budgeting and Control

Recognizing Revenues in Governmental Funds

Recognizing Expenditures in Governmental Funds

Accounting for Capital Projects and Debt Service

Capital Assets and Investments in Marketable Securities

Long-Term Obligations

Pensions and Other Fiduciary Activities

Issues of Reporting, Disclosure, and Financial Analysis

Not-For-Profit Organizations

Colleges and Universities

Health Care Providers

Managing for Results

Auditing Governments and Notforprofit Organizations

Federal Government Accounting

Filters