Exam 17: Accounting and Reporting for the Federal Government

A federal agency recorded the receipt of supplies at an actual cost of $57,000. At the time the purchase orders were issued it was estimated the supplies would cost $56,000. How would this transaction be recorded in the proprietary track accounts?

An example of a federal government general property, plant, and equipment asset would be Yellowstone National Park.

Which of the following statements most accurately describes the dual-track accounting system used in federal agency accounting?

Explain the components of net position.

By law, federal agencies must incorporate the accounting standards (GAAP) established for the federal government into their financial management systems.

Explain the GAAP hierarchy used by federal government agencies.

The purpose of revolving funds of the federal government is similar to that of proprietary funds of state and local governments.

Explain the "dual-track" accounting system used by federal agencies and why it is needed.

What is the difference between entity assets and nonentity assets?

The financial statements of the U.S. government are prepared using generally accepted accounting principles promulgated by the Governmental Accounting Standards Board.

Which of the following is an example of a stewardship asset?

At the present time, the conceptual framework for the federal government and its agencies does not provide definitions of the basic elements of the financial statements.

One of the purposes of the Federal Financial Management Improvement Act of 1996 was to:

The Comptroller General of the United States is the head of the:

Objectives that are identified by SFFAC No. 1 for federal financial reporting include budgetary integrity, operating performance, transparency, and stewardship.

A federal agency received $900,000 as its annual appropriation from Congress. How would the appropriation be recorded by the agency?

Federal departments and agencies should utilize the U.S. Government Standard General Ledger as the account structure for their accounting systems.

Which of the following federal financial statements relies primarily on the use of actuarial assumptions and long-range projections for the information reported on the statement?

A federal agency issued $1,000 in purchase orders for goods and services. How would this transaction be recorded?

Where would federal agencies report information concerning their performance goals and performance results, along with their future challenges?