Chapter 9 Flashcards
Types of Proprietary Funds
EnterpriseFund
Internal service funds
Proprietary funds AKA
Business-type activities
Enterprise fund
Provide services to the general public
utility systems, airports
Internal service funds
Provide services to other government departments
self-funded insurance, printing shops, etc
Proprietary Funds Account Characteristics
Nonexpendable
full accrual basis
Balance sheet recognition to assets and LT
Determining ONI, Changes in net assets etc.
Propretry accounting equation
assets-liabilites=Net assets
Propeirtary funds Statements include
Statement of Net Assets: (1. Invested in capital assets-net, 2 restriced net assets, 3 unrestricted net assets)
Statement of Revenues, Expenses, and changes in Fund Net Assets: Reconciles beg & end
Statement of Cash Flows (GASB) Cash and Cash equivalents
Cash Flows for NFPs & Publicly traded companies
Operating
Financing
Investing
Cash Flows for governmental
operating
noncapital financing
capital & related financing
investing
Must use enterprise if one of the following met
activity financed solely with revenue debt instead of governmental obligation debts
costs of providing services recovered by fees and charges
pricing policcy are designed to recover costs from fees and charges
GASB allowed proprietary funds if
follow pronouncements of the FASB and predecessors issued befoer 11/30/1989 unless conflict with GASB
follow bothose issued before and after 11/30/1989 unless they conflist with GASB
MSWLFs
Municipal Solid Waste Landfills
Closuer & Post losure costs include
equipment installed and facilities constructed after the landfill stops accepting wast
Final Cover
Monitoring & Maintenance
If landfill is enterprise fund
must report expense & liability related to closure adn Post costs
If landfill is governmental fund
liability/exp of post reproted only in government wide statements no expenditure in fund
