Conceptual Framework Government Accounting

Question 1

The characteristics of governmental activities result in reporting objectives for these include?

Answer 1

(1) The representative form of government and the separation of powers
(2) The federal system of government and the prevalence of intergovernmental revenues
(3) The relationship of taxpayers to services received

budgets as a control mechanism, and
fund accounting as another control mechanism.

Question 2

financial reporting assist users in evaluating operating results by providing information……

Answer 2

(1) Providing information about sources and uses
(2) Providing information about how it financed its activities and met its cash requirements
(3) Providing information necessary to determine whether its financial position improved or deteriorated as a result of the year’s operations

Question 3

What Sub objectives consists of Accountability?

Answer 3

Interperiod equity - provide information to determine whether current-year revenues were sufficient to pay for current-year services.

Budgetary and fiscal compliance - demonstrate whether resources were obtained and used in accordance with the adopted budget & should also demonstrate compliance with other finance-related legal or contractual requirements.

Service efforts costs and accomplishments - provide information to assist users in assessing the service efforts, costs, and accomplishments of the governmental entity.

Question 4

What financials does GASB 1600.103 require of Governmental entities preparing Cash Basis Budgets?

Answer 4

The balance sheet or statement of net position

The statement of revenue and expenses or statement of activities