6 Flashcards
Finance lease should be recorded at:
The present value of the minimum lease payments.
In a sales type lease, any difference between the FV of the leased asset and the carrying value is recognized as:
manufacturers or dealers profit.
the excess of the present value of the selling price over the cost is considered:
profit
When a lease is capitalized because of a transfer of title or a written purchase option, the depreciation would be over:
the useful life of the leased asset and not the lease term.
In a financing lease the difference between the FV of the leased asset and its cost at inception is recognized as:
a gain or loss.
Governmental funds: Fund accounting summary (modified accrual basis of accounting and current financial resources measurement focus)
GRASPP GENERAL special REV And debt SERVICE capital PROJECTS PERMANENT
Governmental funds: Fund accounting summary (modified accrual basis of accounting and current financial resources measurement focus)
GRA ral special Rev And debt Service capital Projects Permanent
Proprietary and Fiduciary funds: Economic resource measurement focus and full accrual accounting
SE - CIPPOE Service Enterprise Custodial Investments Private purpose trust Pension and Other Employee trust
GASB 34 includes provisions for:
Gov-wide financial statements prepared using accrual, fund FS, notes to the financial statement and required supplementary information that encompasses a actual comparisons including display of the originally adopted budget and changes that resulted in the final amended budget.
One of the major components of MD&A (as part of the local governments is to compare current year results with:
Prior year, with emphasis on the current year.
REquired supplementary information is presented:
before MD&A or after the basic financial statements., not among the notes to the financial statements.
Journal entry to record a capital lease that represents the acquisition of an asset (of a governments unit)
DR. Expenditure - Capital lease
CR. OFS - Capital lease
permanent funds are used to account for principal that is:
restricted and may net be expended. Earnings must be used for a purpose that benefits the public.
In a permanent fund, investments are typically held at:
fair value
Special revenues fund is used to account:
revenues from specific taxes to finance particular activities of government.
What account should be debited in the general fund when the principal portions of the payments is financed by the general fund?
Expenditures control
NFP organizations are considered interrelated orgs in the event that one of the orgs, is:
both able to influence the operations of the other and has an ongoing economic interest in the net assets of the other.
MArketable securities are reported on the statement of activities at:
The FMV with gains and losses reported on the statement of activities.
How should NFP orgs classify fains and losses on investments purchased with endowment assets with donor restrictions?
reported in teh statement of activities as an increase or decrease in net assets, unless restricted by donor or by law.
Equity instruments issued for ee services must be valued at
the date of grant
