Exam 9: Accounting for Special-Purpose Entities Including Public Colleges and Universities

Reimbursement grants allow revenue to be recognized at the time the grant is made.

According to GASB Statement 34,governmental activities are generally financed through taxes,intergovernmental revenues and other nonexchange revenues.

General state appropriations are treated as operating revenue of public colleges and universities.

Public higher education institutions typically report as special-purpose entities engaged in governmental and business-type activities or in governmental-type activities only.

Special-purpose governments that are engaged in both governmental and business-type activities or in more than one governmental activity are required to include which items in its financial reporting?

City and county governments are not typically classified as special purpose governments.

The following information applies to the next three questions: Tuition and fees for the Northern University was assessed at $22,000,000. Scholarship allowances, for which no services are required, were $1,600,000 and graduate assistantships, for which services are required, were $1,000,000. -What is the journal entry to record the graduate assistantships?

Which of the following statements is true regarding accounting and financial reporting for public colleges and universities?

Special-purpose governments that are engaged in more than one governmental activity are required to use the full reporting model including MD&A,government-wide and fund-basis statements,notes to the financial statements and RSI.

Assume a government is determined to be a special-purpose government engaged in business-type activities only. Which of the following financial statements would be required?

Northwest State University had the following account balances as of June 30,2015. Debits are not distinguished from credits,so assume all accounts have a "normal" balance (i.e.cash is a debit and accounts payable a credit) Required: Prepare,in good form,a Statement of Net Position for Northwest State University as of June 30,2015.

Financial reporting for a special-purpose local government depends on whether that government is engaged in governmental-type,business-type or fiduciary-type activities.

Assume a government is a special-purpose government engaged in only one governmental activity. Which financial statements would be required?

Governmental health care entities,public school systems,and museums are commonly accounted for as special-purpose governments.

Which of the following statements is true of a special-purpose government?

Public colleges and universities follow __________ guidelines while private colleges and universities follow ________ guidelines

With respect to public colleges engaged in business-type activities,which of the following is not correct?

Public colleges and universities that choose to report as special-purpose entities engaged only in business-type activities would have which of the following financial statements?

With respect to public colleges and universities,state appropriations for operating purposes are shown as:

For financial reporting purposes,governmental health care entities,public school systems,other not-for-profit entities and public colleges and universities may be considered to be special-purpose entities.