Governmental Reporting

Question 1

what is the acronym CAFR and what does it contain

Answer 1

Comprehensive Annual Financial Reporting - A report issued by a governmental entity that includes the entity’s audited statements for the fiscal year as well as other information about the entity

Question 2

In the statistical section of CAFR info can be presented in 5 categories what are they

Answer 2

FRODDE

1. Financial Trends Info
2. Revenue capacity info
3. Debt capacity
4. Demographic & economic info
5. Operating Info.

Question 3

what are the components of governmental accounting and the basis of accounting

Answer 3

DRIP CEG
Modified accrual
1.Debt service Fund
2.Special Revenue Funds
3.Permanent Fund
4. Capital Project FUnds
5. General Fund
Accrual
6.Internal Services Fund
7. Enterprise FUnds
PIPA
8.Pension Trust
9. Investment Trust Fund
10. Private Purpose Trust Funds
11. Agency Funds

Question 4

what does financial statement for proprietary fund include?

Answer 4

Financial statements for proprietary funds include (1) a statement of net position, (2) a statement of revenues, expenses, and changes in net position, and (3) a statement of cash flows.

Question 5

what does financial statement for governmental fund include

Answer 5

Financial statements for governmental funds include (1) a balance sheet and (2) a statement of revenues, expenditures, and (3) changes in fund balances.

Question 6

what are the required supplementary information in the financial statements of state and local governments under GASB 34.

Answer 6

there are 5 categories which are:
These five categories are

* Management’s Discussion and Analysis;
* Schedule of Funding Progress and Schedule of Employer Contributions (these schedules relate to pension disclosures);
* Budgetary Comparison Schedules (this disclosure is for governmental funds)
* Information about Infrastructure Assets Reported Using the Modified Approach; and
* Certain information about Risk Financing Activities.

Question 7

what financial statements should be prepared by a NFP hospital

Answer 7

Not-for-profit hospitals should prepare a balance sheet, a statement of operations, a statement of changes in net assets, and a statement of cash flows.

Question 8

What is the purpose of the statement of net assets, statement of operations, and balance sheet

Answer 8

The statement of changes in net assets reports the changes in the hospital’s unrestricted, temporarily restricted, and permanently restricted net assets for a time period. The statement of operations discloses only the changes in unrestricted net assets for a time period, while the balance sheet discloses the amounts of unrestricted, temporarily restricted, and permanently restricted net assets as of a specific date.

Question 9

Which entries does not require a statement of cash flows

Answer 9

GASB does not require it.

Question 10

What statement are prepared by a voluntary health and welfare organ. (VHWO)?

Answer 10

Statement of functional expenses
Statement of financial position
Statement of activities
Statement of cash flows

Question 11

What does it mean to have fund balance lassitude as committed?

Answer 11

They are amounts that can only be used for a specific purpose because of constraints imposed by formal action of the government’s highest level of decision making authority.

Question 12

What financial statements are prepared by a non profit hospital

Answer 12

1. Balance sheet
2. Statement of operations
3. Statement of changes in net assets
4. Statement of cash flows

Question 13

What is appropriation

Answer 13

It is a budgetary account which represents the total authorized expenditures for the current period. It is recorded in the beginning of the period as a credit.