Governmental Accounting (Revised) Flashcards
What are the governmental funds (GRASPP)
General
Revenue
and
Service
Project
Permanent
Funds use what basis of accrual
modified accrual
budgetary accounting
used to control spending
activity accounting
emphasizes the flow of current financial resources
encumbrance accounting
records purchase orders and aids in the control of spending
T/F estimated revenues are credits and appropriations (estimated expenditures) are debits under budgetary accounting
F - debits and credits
T/F excess or projected surplus is credited to budgetary control
T
What is the accounting for a deficit in budgetary control?
Dr. budgetary control
When are governmental fund revenues recorded?
When they are both measurable and available and have met time requirements
When are revenues available?
collected within 60 days of year end
When have revenues met time requirements?
recognized in the period in which resources must be used or when use may begin
T/F Current and noncurrent assets are recognized in the same period
F - noncurrent assets are not recognized
what are the two methods to account for supplies?
Purchase or consumption
how are expenditures classified?
according to fund and then by function or program
T/F fixed assets are not capitalized
T
How are fixed assets recorded?
government wide financials
How is long term debt recorded?
other financing source on the government fund financials
How are leases other than operating leases and contracts that transfer ownership recorded?
capital outlay and an other financing source in governmental funds
Encumbrance
commitment of available appropriations of a government fund (ex) purchase order)
How are encumbrances reported?
Dr. Encumbrance
Cr. Cash
T/F encumbrances are not reported on the face of a government fund FS
T - may be disclosed
What is the effect of deferred outflows of resources?
Positive net effect on net position and are reported following assets but before liabilities
What is the effect of deferred inflows of resources?
Negative net effect on net position and are reported following liabilities but before equity
What are the categories GRaSPP funds can be classified?
Nonspendable
Restricted
Committed
Assigned
Unassigned
Which category can all funds be classified as?
Restricted
Unassigned (General positive all others negative)
Which categories can’t be assigned?
special revenue and permanent
Which categories can’t be nonspendable
debt service, capital projects, permanent
