Prelims Flashcards
Encompasses the processes of analyzing, recording, classifying, summarizing, and communicating all transactions involving the receipt and disposition of government funds and properties, and interpreting the results thereof.
Government Accounting
What offices are charged with government accounting responsibilities?
- Commission on Audit
- Department of Budget and Management
- Bureau of Treasury
- Government Agencies
COA responsibilities
- Promulgate accounting and auditing rules
- Keep general accounts
- Submit financial reports
Responsibility of DBM
Implement the national budget
Responsibility of BTr
Cash custody and control of cash disbursements
Responsibility of Government Agencies
Maintain accounting books and budget registries
Fund clusters
01 - Regular Agency Fund
02 - Foreign Assisted Project Funds
03 - Domestic Grant Funds
04 - Foreign Grants Funds
05 - Internally Generated Funds
06 - Business Related Funds
07 - Trust Receipts
Qualitative Characteristics
- Understandability
- Materiality
- Reliability
- Comparability
- Neutrality
- Relevance
- Prudence
- Completeness
- Timeliness
- Faithful representation
- Substance over form
Components of General Purpose Financial Statements
- Statement of Financial Position
- Statement of Financial Performance
- Statement of Change in Net Assets / Equity
- Statement of Cash Flows
- Statement of Comparison of Budget and Actual Amounts
- Notes on financial statements
What does IPSAS stand for?
International Public Sector Accounting Standards
What does PPSAS mean?
Philippine Public Sector Accounting Standards
When was NGA used?
2002-2015
When did GAM took effect?
January 01, 2016
Contents of Volume 1 (GAM)
- Accounting Policies
- Accounting Guidelines
- Accounting Procedures
- Illustrative Accounting Entries
Content of Volume 2 (GAM)
- Accounting Books
- Acctng. Registries
- Acctng. Records
- Acctng. Forms
- Acctng. Reports
Content of Volume 3 (GAM)
Revised Chart of Accounts
Vision of GAM
Ensures uniformity, accuracy, reliability and timeliness in the prep. of financial statements and other reports in conformity with the requirements of the PPSAS and relevant accounting policies
A basis of accounting under which transactions and other events are recognized when they occur.
Accrual Basis
Elements recognized under accrual accounting:
- Assets
- Liabilities
- Net Assets / Equity
- Revenue
- Expenses
Resources controlled by an entity as a result of past events, and from which future economic benefits or service potential are expected to flow to the entity.
Assets
Future economic benefits or service potential that have been contributed to the entity by parties external to the entity.
Contributions from owners
Future economic benefits or service potential distributed by the entity to all or some of its owners as ROI.
Distribution to owners
Refers to a government agency, department or operating / field unit
Entity
Are decreases in economic benefits or service potential during the reporting period in the form of outflows or consumption of assets or incurrence of liabilities that results in decrease in net assets / equity other than those relating to distribution to owners
Expenses
