Buy Accounting Not For Profit Assignment

Buy Accounting Not For Profit Assignment
1Under the modified accrual basis of accounting, there is no matching principle and no attempt to amortize costs that benefit multiple periods.
2
In fund accounting, expenditures may be classified in different ways, such as by program or activity.
3
When government funds reimburse one another, the expenditure of the fund paying for the cost is increased and the expenditure of the fund reimbursed is decreased.
4
Loans between funds are handled in account receivable and account payable accounts.
5
GASB requires disclosures about capital asset impairment if the decline in service is minimal.
6
Government accounting principles dictate that interest received on investments be treated as cash inflow from investing activities.
7
Payments received by a city utility fund would appear on a statement of cash flows for government funds.
8
Revenues for government funds include taxes, assessments, proceeds from bonds, and fines.
9
The general fund recognizes revenue when earned by the enterprise recognizes revenue when available.
10
Capital assets related to specific proprietary funds should be accounted for in the government wide statements only.
11
A major difference between fund statements and proprietary statements is the treatment of transactions that impact cash balances in the bank.
12
The basic criterion used to determine the reporting entity (fund) for a govt. unit is its geographical boundaries.
13
GASB requires fund balances to be reported as restricted when constraints are placed on the use of resources either externally imposed by creditors or those imposed by taxpayers.
14
Agency funds take in monies that are used to invest in order to make the fund a profit.
15
GASB does not require the notes to financial statements to address significant subsequent events.
16
Since the general fund is a catch-all fund, a government agency typically uses several general funds to record different types of transactions.
17
Revenue is generally included in fund statements if received within 60 days after the year end.
18
Inter-fund transactions are eliminated on the Statement of Activities, when they are between the primary government and business type activities.
19
Trust and agency funds use accrual basis of accounting.
20
Major funds are reported on separately if management believes it is useful to present them separately in the financial statements.

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