FAR Module 21 Proprietary & Fiduciary Fund JEs Flashcards
When a proprietary fund is established, a contribution is usually received from the general fund. What is the JE for this?
Cash (DR)
Transfer from the General Fund (CR)
When a proprietary fund is established, an advance is usually received from the general fund. What is the JE for this?
Cash (DR)
Advance from General Fund (CR)
What does the term “advance from” indicate?
That the liability is long term and would be reported on the proprietary fund’s balance sheet as a long-term liability
What are some features of proprietary fund accounting that are distinguishable from business enterprise accounting?
1) Long term debt is recorded directly in internal service and enterprise funds
2) Interest on long-term debt is accrued as an expense. Premiums & discounts are recorded with the debt and amortized over the life of the bonds
3) Fixed assets are capitalized and depreciated. Interest incurred during construction is capitalized
For the pension, fiduciary fund, what RSI is required?
1) a 10-yr schedule of changes in pension liab
2) a 10-yr schedule of the amounts of total pension liability, fiduciary net position, net pension liability, the covered employee payroll, and selected ratios
3) a 10-yr schedule of the actuarial computed required contribution, the required contribution, the actual contribution to the plan, and selected ratios
4) A 10-yr schedule of the annual money weihted return on pension plan assets
T/F
Conversion from Fund FSs to Gov-Wide FSs (modified accrual to full accrual) are made as JEs
FALSE
These are made as worksheet entries, NOT JEs as they are NOT posted to the GL
T/F
Agency Funds record assets, liabilities, revenues, expenditures, and transfers, but they do not record a net position
FALSE
Agency Funds only record Assets and Liabilities. They do not record revenues, expenditures, and transfers and they do not record a net position.
