Mod 21 Wrong Answers Flashcards
In accordance with governmental accounting standards, depreciation expenses on infrastructure assets is not required if…
Government chooses modified approach
GASB 34 (as Ammended) indicates that the basic financial statements include only the…3
1 government wide financial statements
2 fund statements
3 notes to the financial statements
Under the modified approach, infrastructure assets are reported on the government wide statement of net position at…
Their cost without reduction for accumulated depreciation
On the government wide statement of activities, the cost to extend the life of the infrastructure assets is reported as…2
An expense
and certain information about infrastructure assets is disclosed
As required supplementary information
In accordance with GASB 68, the effects on the net pension liability of differences between expected and actual investment returns for a defined benefit plan is recognized in pension expense over…
A closed period of 5 years
GASB 33, indicates that imposed nonexchange revenues result from assessments by governments on…
Nongovernmental entities, including individuals other than
Assessments on non exchange transactions
Imposed non exchange revenues include…2
1 property taxes
2 fines and penalties
According to guidance provided by GASB 33, sales tax revenues are an example of…
A derived tax revenue
Derived revenues result from…
Taxes assessed by government on exchange transactions
Sales taxes and income taxes are classified as…
Derived tax revenues
Under modified accrual accounting On December 31, 2012, Sales tax advance of $10,000 should be reported as…
2) what is the journal entry
As revenue in 2012 if it is available to pay expenditures incurred
By General fund in 2012
Cash. 10,000
Sales tax revenues. 10,000
Under modified accrual accounting, revenues are recognized when…
They are both measurable and available to pay expenditures
Incurred during current fiscal period
On December 31, 2013, Under modified accrual accounting, cash received from property owners of $10,000 should not be reported as revenue for 2013, if…
2) What is the journal entry?
The money cannot be used to pay for expenditures in 2013
Cash. 10,000
Deferred inflow. 10,000
Encumbrances outstanding at year end represent…
Estimated amount of expenditures that could result if unperformed
Contracts in process at year end are computed
Encumbrances outstanding at year end are not…
Expenditures or liabilities
Where appropriations do not lapse at year end, encumbrances outstanding at year end should be reported as…
Reserve of general fund
