Question 1

Which of the following is true regarding the reporting of Budget-Actual Comparisons?

Accepted Answer

A)   A Budget-Actual Comparison Schedule is required for the General Fund and all major special revenue funds that have a legally adopted annual budget.
B)   A Budget-Actual Comparison Statement may be prepared in lieu of the Schedule.
C)   Both of the above.
D)   Neither of the above.

Question 2

List the basic financial statements required by GASB Statement 34 for fiduciary type funds.

Accepted Answer

Fiduciary fund financial state...

Question 3

What are the three major sections of the Comprehensive Annual Financial Report?

Accepted Answer

A)   Introductory Section, Financial Section, Statistical Section
B)   Introductory Section, Financial Section, Management Discussion and Analysis.
C)   Introductory Section, Financial Section, Budgetary Comparison
D)   Introductory Section, Financial Section, Reporting Infrastructure

Question 4

With respect to fund basis financial statements,a government may only designate a fund to be a major fund if it meets the size thresholds established by GASB.

Accepted Answer

A) True 
 B)False

Question 5

Which of the following is true regarding the government-wide Statement of Activities?

Accepted Answer

A)   General revenues include items such as charges for services and program fees.
B)   Fiduciary activities are included.
C)   Both of the above.
D)   Neither of the above.

Question 6

Which of the following is true about the combining financial statements?

Accepted Answer

A)   They are used whenever a non-major column is used in one of the fund financial statements
B)   The total column in the combining statements is not always the same as the non-major funds column in the basic financial statements
C)   Both of the above
D)   Neither of the above

Question 7

Which of the following is included in Required Supplementary Information (RSI) ?

Accepted Answer

A)   Management's Discussion and Analysis (MD&
A)  .
B)   Budgetary Comparison Schedule.
C)   The Schedule of Funding Progress and Schedule of Employer Contributions when the government reports a pension trust fund.
D)   All of the above.

Question 8

A Comprehensive Annual Financial Report for a state or local governmental unit should contain an introductory section,a financial section,and a statistical section

Accepted Answer

A) True 
 B)False

Question 9

Which of the following is true regarding the government-wide Statement of Net Assets?

Accepted Answer

A)   The government-wide Statement of Net Assets reflects capital assets, net of accumulated depreciation, for both governmental and business-type activities.
B)   The government-wide Statement of Net Assets must be prepared in a classified format; that is, both assets and liabilities must be separated between current and long-term categories.
C)   The government-wide Statement of Net Assets includes all resources entrusted to the government; including governmental, proprietary, and fiduciary.
D)   A reporting entity (primary government plus component units)  total column is required.

Question 10

Special-purpose governments engaged in business type activities only are required to prepare both proprietary fund and government-wide financial statements.

Accepted Answer

A) True 
 B)False

Question 11

The General Fund is always considered to be a major fund when preparing fund basis financial statements.

Accepted Answer

A) True 
 B)False

Question 12

Which of the following is true regarding the composition of the Comprehensive Annual Financial Report (CAFR) ?

Accepted Answer

A)   The CAFR is required in order to be in conformity with Generally Accepted Accounting Principles (GAAP) .
B)   The CAFR is to include both blended and discretely presented component units.
C)   The CAFR contains four major sections: introductory, financial, supplementary, and statistical.
D)   All of the above are true.

Question 13

Prior-year data are required to be presented on government-wide statements

Accepted Answer

A) True 
 B)False

Question 14

Fiduciary fund statements are prepared using the current financial resources measurement focus and modified accrual basis of accounting.

Accepted Answer

A) True 
 B)False

Question 15

With respect to Government-wide financial statements,which of the following is not required by GASB Statement 34?

Accepted Answer

A)   Statement of Net Assets
B)   Statement of Cash Flow
C)   Statement of Activities
D)   All of the above are required by GASB Statement 34

Question 16

List and describe the three major sections of the Comprehensive Annual Financial Report and indicate briefly what is in each.

Accepted Answer

The three major sections are introductor...

Question 17

The total fund balances reported in the total column of the fund basis statements must be reconciled to the total net assets presented in the governmental activities column of the government-wide Statement of Net Assets

Accepted Answer

A) True 
 B)False

Question 18

Government-wide statements are to be prepared using the current financial resources measurement focus and modified accrual basis of accounting.

Accepted Answer

A) True 
 B)False

Question 19

Which of the following is true regarding the financial reporting entity of a state or local government?

Accepted Answer

A)   Many component units are discretely presented, rather than blended.
B)   A school district could never be a primary government.
C)   Only a primary government is reported in the government-wide statements.
D)   All of the above are true.

Question 20

The General Fund is always a major fund for purposes of financial reporting.

Accepted Answer

A) True 
 B)False

Exam 2: Overview of Financial Reporting for State and Local Governments

Government-wide statements are to be prepared using the current financial resources measurement focus and modified accrual basis of accounting.

Correct AnswerverifiedShow Answer

Which of the following is true regarding the government-wide Statement of Activities?

Correct AnswerverifiedShow Answer

Which of the following is included in Required Supplementary Information (RSI) ?

Correct AnswerverifiedShow Answer

Special-purpose governments engaged in business type activities only are required to prepare both proprietary fund and government-wide financial statements.

Correct AnswerverifiedShow Answer

Which of the following is true about the combining financial statements?

Correct AnswerverifiedShow Answer

Which of the following is true regarding the financial reporting entity of a state or local government?

Correct AnswerverifiedShow Answer

A Comprehensive Annual Financial Report for a state or local governmental unit should contain an introductory section,a financial section,and a statistical section

Correct AnswerverifiedShow Answer

List and describe the three major sections of the Comprehensive Annual Financial Report and indicate briefly what is in each.

Correct AnswerverifiedThe three major sections are introductor...View AnswerShow Answer

With respect to Government-wide financial statements,which of the following is not required by GASB Statement 34?

Correct AnswerverifiedShow Answer

List the basic financial statements required by GASB Statement 34 for fiduciary type funds.

Correct AnswerverifiedFiduciary fund financial state...View AnswerShow Answer

Prior-year data are required to be presented on government-wide statements

Correct AnswerverifiedShow Answer

With respect to fund basis financial statements,a government may only designate a fund to be a major fund if it meets the size thresholds established by GASB.

Correct AnswerverifiedShow Answer

The total fund balances reported in the total column of the fund basis statements must be reconciled to the total net assets presented in the governmental activities column of the government-wide Statement of Net Assets

Correct AnswerverifiedShow Answer

What are the three major sections of the Comprehensive Annual Financial Report?

Correct AnswerverifiedShow Answer

Fiduciary fund statements are prepared using the current financial resources measurement focus and modified accrual basis of accounting.

Correct AnswerverifiedShow Answer

Which of the following is true regarding the composition of the Comprehensive Annual Financial Report (CAFR) ?

Correct AnswerverifiedShow Answer

Which of the following is true regarding the government-wide Statement of Net Assets?

Correct AnswerverifiedShow Answer

Which of the following is true regarding the reporting of Budget-Actual Comparisons?

Correct AnswerverifiedShow Answer

The General Fund is always considered to be a major fund when preparing fund basis financial statements.

Correct AnswerverifiedShow Answer

The General Fund is always a major fund for purposes of financial reporting.

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
The three major sections are introductor...
View Answer

Correct Answer
verified

Correct Answer
verified
Fiduciary fund financial state...
View Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified