Exam 16: Accounting for State and Local Governments

In governmental accounting, what term is used for a decrease in financial resources?

Revenue from property taxes should be recorded in the General Fund

The town council adopted an annual budget estimating general revenues of $2,000,000, approved expenditures of $1,700,000 and other financing for other funds of $130,000. Required: Record the journal entry to record the budget and identify the fund in which it is recorded.

What assets would be included in the accounting records of a city's general fund?

The term "current financial resources" refers to

GASB Codification Section N50.104 divides all eligibility requirements into four general classifications including all of the following except:

What organization is responsible for establishing accounting principles for governmental entities? By whom was this organization established?

What are the five types of governmental funds?

The City of Kamen transferred $27,000 into a Pension Trust Fund. Of this amount, $19,000 was contributed by the city with the remainder coming from the employees. Required: For fund financial statements, prepare the journal entry for this transaction including the fund type in which the entry would have been recorded.

Simple City has recorded the purchase order of two trucks for a total of $100,000. Prepare the journal entries to reflect that the two trucks have been received with a voucher price of $105,000. This amount has been approved but not yet paid. Identify the fund in which the entries are recorded.

The board of commissioners of the city of Jarmaine adopted a General Fund budget for the year ending June 30, 2013, which indicated revenues of $1,300,000, bond proceeds of $520,000, appropriations of $1,170,000, and operating transfers out of $390,000. Required: If this budget was formally integrated into the accounting records used to produce the Fund Financial Statements, what was the required journal entry at the beginning of the year?

Which group of financial statements is prepared using the "modified accrual accounting" approach?

What are the four fiduciary fund types?

A new truck was ordered for the sanitation department at a cost of $122,200 on September 3, 2013. Required: (A.) Prepare the required journal entry in the General Fund for the Fund Financial Statements. (B.) Prepare the required journal entry for the Government-Wide Financial Statements.

What are the two proprietary fund types?

The reporting of the fund balance of governmental funds will result in a maximum of ___________ categories:

Which standard issued by the Governmental Accounting Standards Board in 1999 required two distinct sets of financial statements for state and local governments?

What are the two proprietary fund types? (1) Internal service funds. (2) Investment trust funds. (3) Enterprise funds. (4) Agency funds.

Governmental funds are

When a city received a private donation of $1,000,000 stipulating that the principal donation would be preserved but allowing the interest income to be spent on building a city park with access for disabled children, which fund should the money be recorded in?