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Question 1

how are blended and discrete units’ act’s treated in eliminations?

Answer 1

• blended = reclass as interfund act. (elim)
• discrete = ext. trans
  (do not elim)

*interfund svc’s are not elim’d

Question 2

if a primary gov’s “G” fund has an equity int in a JV, all/portion of this equity is reported where?

Answer 2

gov-wide statement of NP

Question 3

what is the 10% and 5% test for major/nonmajor funds?

Answer 3

10% test is like segment reporting
(10% of R, E, A+outflow, or L+inflow)
(excludes int. svc. fund)
(G fund always major)

5% test is for all gov and “E” funds

..must meet both tests to be a major fund

Question 4

how is int. income and int. exp treated in CF’s for prop. funds?

Answer 4

int income is CFI, and int exp is CFF (cap or noncap)

Question 5

are op. transfers out and prop. tax receipts to subsidize op’s noncap financing act’s?

Answer 5

yes

Question 6

what do nonop fin. act’s include?

Answer 6

borrowing for noncap purposes as well as CR’s from grants/subsidies, prop taxes, etc.

Question 7

what is “CAN” in relation to reconc. of gov funds?

Answer 7

• C = Cap. A’s added
• A = AD subtracted
• N = non-CL subtracted
  (affects BS)

..also subtract def. inflows for recog’d rev’s and subtract accrued L for I/P

Question 8

what is “CPAS RIDE” for reconc. of gov funds?

+SIT

Answer 8

• C = cap. outlay added
• P = “P” pmt added
• A = cap. A’s BV subtracted
• S = OFS’s subtracted
• R = add recog’d rev’s that are meas. but unavail.
• I = accrue int. exp
• D+E = record DE
• SIT:
• S = add int. svc. fund change in NP
• I+T = interfund transfers
  (elim. interfund)

Question 9

what is the full equation for CPAS RIDE or SIT?

Answer 9

net change fund bal total
\+ Cap outlay (A's purch'd)
\+"P" pmt on LTD
- Asset disposal (NBV)
- Sources OFS-debt proceed
\+ Rev (meas, unavail)
- Int exp (accrued)
- DE
\+int. Svc. fund net rev
-------------------------------
= change NP of gov act's

*for NBV,
proceeds - gain = NBV

Question 10

what does MDA include?

Answer 10

• description of FS’s
  (no variance analysis)
• identifies primary gov and discrete comp’s
• econ cond’s and outlook

Question 11

what is included in the notes in the basic FS’s?

Answer 11

• general gov disclosures
• specific gov. disclosures
  (focuses on primary gov - analysis of each fund)
  (for specifics, length of time = 60 day rule)

Question 12

what is included in RSI?

Answer 12

• budgetary comparison sched (variance final budget = optional)
• infrastructure info
• pension info
• optional suppl. info
  (combining statements for nonmajor funds)

Question 13

if a city legally adopts a budget, should the budgetary comparisons be presented the same way?

Answer 13

yes, they should be the same basis of acct

Question 14

in RSI, should actuarially det’d contr’s be shown for a min of 3Y’s?

Answer 14

yes

Question 15

what is the min. budgetary info req’d to be reported in RSI?

Answer 15

schedule showing OG+final budgets, actual inf/outflows, and balances on a budgetary basis

Question 16

should MDA compare CY to PY results with emphasis on CY?

Answer 16

yes

Question 17

if the board of comp. unit is subs the same, servers primary gov exclusively, or is not sep.’y legal entity, it is:

Answer 17

blended presentation

Question 18

how can GP% be found?

Answer 18

GP (def’d GP) / sales

Question 19

for troubled debt restructuring w/ mod of terms, what will help compare CV of debt det. if debtor should report a gain on restructuring?

Answer 19

total future cash pmt’s

Question 20

how is def’d GP calc’d?

Answer 20

uncollected cash * GP%

*GP rate = gain/sale