Select the best answer to the following multiple-choice questions: 1. Which of the following statements is correct
Question:
1. Which of the following statements is correct concerning a governmental entity€™s combined statement of cash flows?
a. Cash flows from capital financing activities are reported separately from cash flows from non-capital-related financing activities.
b. The statement format is the same as that of a business enterprise€™s statement of cash flows.
c. Cash flows from operating activities may be reported using the indirect method.
d. The statement format includes columns for the general, governmental, and proprietary fund types.
2. In a government€™s comprehensive annual financial report, proprietary fund types are included in which of the following combined financial statements?
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3. In a government€™s comprehensive annual financial report, account groups are included in which of the following combined financial statements?
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4. Clover City€™s comprehensive annual financial report contains both combining and combined financial statements. Total columns are
a. Required for both combining and combined financial statements.
b. Optional, but commonly shown, for combining financial statements and required for combined financial statements.
c. Required for combining financial statements and optional, but commonly shown, for combined financial statements.
d. Optional, but commonly shown, for both combining and combined financial statements.
5. Eureka City should issue a statement of cash flows for which of the following funds?
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6. On March 2, 2011, Finch City issued 10-year general obligation bonds at face amount, with interest payable on March 1 and September 1. The proceeds were to be used to finance the construction of a civic center over the period from April 1, 2011, to March 31, 2012.
During the fiscal year ended June 30, 2011, no resources had been provided to the debt service fund for the payment of principal and interest. On June 30, 2011, in which statements should Finch report the construction in progress for the civic center?
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Financial statements are the standardized formats to present the financial information related to a business or an organization for its users. Financial statements contain the historical information as well as current period’s financial...
