4 Flashcards
A sale leaseback is considered a failed one if:
It meets the Owns criteria for finance leases.
How should the lesee récord the léase expense for an operating lease
Under the straight line basis
At the inception of a financing lease, how should the guaranteed residual value be recorded?
Included in the PV of the future lease payments.
Separate fund financial statements should be presented for gov and proprietary funds to
Report additional and detailed info about the primary gov.
Sales revenue should on the IS:
Net of discounts
A collection of a previously written off AR (under the allowance method) would :
Increase the allowance for uncollectible.
Journal entry to record uncollectible accounts under the allowance method:
DR: Allowance for uncollectibles
CR: AR
Governmental Funds Breakdown:
Mod accrual & current FS resources measurement focus ("GRASPP")
General Fund:
Rev Fund
And
debt Service fund
capital Projects fund
Permanent fundProprietary Funds Breakdown
Full accrual & economic resource measurement focus (“SE”)
internal Service funds
Enterprise funds
Fiduciary (Trust) Funds Breakdown:
("CIPPOE")
Custodial funds
Investment trust fund
Private purpose trust funds
Pension and Other Employee benefit trust fundStand alone business type activities are accounted for an enterprise fund and would include:
both basic FS’s and required supplementary information consistent with GASB #34.
Government-wide financial statements focus on what type of accountability?
operational accountability of government.
Basic FS’s include government -wide financial statements:
Fund financial statements and notes to the financial statements.
GASB 34 Basic financial statements and required supplementary information for general purpose governments should consist of:
MD&A, basic FS’s, and required supplementary information
The statistical tables sections of the annual financial report of a governmental unit is:
Not part of the basic financial statements
Gov-wide FS’s include all gov-wide activities associated with operational accountability for all activities except:
Fiduciary activities
The gov-wide financial statement focus is on:
Operational accountability
What statements do the gov-wide financial statements use:
Statement of net position, and statement of activities using the economic resources measurement focus and accrual basis of accounting
Blended presentation is used when:
Units are intertwined with the primary gov, in substance, they are the same as the primary gov.
Discrete presentation is used when:
The criteria presentation are not met.
Special purpose government (“SELF”)
Separately Elected, Legally separate, Fiscally independent
The comprehensive annual financial report (CAFR) is divided into 3 sections, which are:
Introductory, Financial, and Statistical
