Why are encumbrances not considered expenditures under the modified accrual (GAAP) basis of governmental fund accounting?
Question:
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 53% (15 reviews)
Encumbrances are the expected costs of expenditures to be incurred if goo...View the full answer
Answered By
Ali Khawaja
my expertise are as follows: financial accounting : - journal entries - financial statements including balance sheet, profit & loss account, cash flow statement & statement of changes in equity -consolidated statement of financial position. -ratio analysis -depreciation methods -accounting concepts -understanding and application of all international financial reporting standards (ifrs) -international accounting standards (ias) -etc business analysis : -business strategy -strategic choices -business processes -e-business -e-marketing -project management -finance -hrm financial management : -project appraisal -capital budgeting -net present value (npv) -internal rate of return (irr) -net present value(npv) -payback period -strategic position -strategic choices -information technology -project management -finance -human resource management auditing: -internal audit -external audit -substantive procedures -analytic procedures -designing and assessment of internal controls -developing the flow charts & data flow diagrams -audit reports -engagement letter -materiality economics: -micro -macro -game theory -econometric -mathematical application in economics -empirical macroeconomics -international trade -international political economy -monetary theory and policy -public economics ,business law, and all regarding commerce
4.00+
1+ Reviews
10+ Question Solved
Related Book For
Governmental and Nonprofit Accounting
ISBN: 978-0132751261
10th edition
Authors: Robert Freeman, Craig Shoulders, Gregory Allison, Robert Smi
Question Posted:
Students also viewed these Accounting questions
-
Under the modified accrual basis of accounting, GASB standards for property tax revenue recognition provide that revenue should not be recognized for property taxes collected: A) After fiscal year...
-
(Multiple choice) 1. Under the modified accrual basis of accounting, when are revenues considered to be available? a. When earned b. When cash is received c. When measurable with reasonable accuracy...
-
Why is it necessary to reconcile governmental funds total fund balances to government-wide governmental activities net position and governmental funds changes in fund balances to governmental...
-
Explain why a production quota is inefficient.
-
Fermi's original reactor was just "barely" critical because the natural uranium that he used contained less than 1% of the fissionable isotope U-235 (half-life 713 million years). What if, in 1942,...
-
A reflection diffraction grating of width \(w\) has \(N\) grooves and is illuminated by normally incident monochromatic light. What condition determines how many orders of constructive interference...
-
Discuss under what conditions unemployment compensation can be denied to a claimant.
-
Summer Fun manufactures flotation vests in Tampa, Florida. Summer Funs contribution margin income statement for the month ended December 31, 2016, contains the following data: Suppose Over-town...
-
Daenerys, LLC provides cleaning service for homes and businesses. All sales are billed to clients with a credit terms that stipulate payment must be received 30 days after the invoice is received....
-
A detonation pond has the shape of an inverted truncated pyramid, it has a rectangular bottom of dimension 120 ( 80 ft, a maximum depth of 5 ft, and uniform side slopes of 3 : 1 (horizontal :...
-
Explain the purpose, nature, and effect of the entry re-establishing encumbrances in the accounts at the beginning of a new year.
-
Multiple Choice Questions Identify the best answer for each of the following: 1. General budgets are most common for which of the following funds? a. General Fund. b. Capital Projects Fund. c....
-
Founded in 1970, ABC is one of the worlds largest insurance companies with locations in 28 countries. Given the following description, flowchart the new policy setup process as it existed in 1970;...
-
Describe how the development of alternative models of nonmarital relationships has impacted many areas of substantive law.
-
Identify the six most common dispute resolution options used in divorce cases. What are the primary differences among them (particularly with respect to the role of the attorney)?
-
Identify the primary purposes of a letter of engagement, a letter of nonengagement or declination, and a closing letter.
-
Describe the major distinction in the effect of a religious and a civil divorce or annulment in the United States.
-
True Or False Attorneys who talk openly with their clients are less likely to be sued for negligence when they make mistakes than attorneys who treat their clients in a paternalistic manner.
-
What is a business cycle? What is an expansion, and what is a contraction? How are they measured?
-
If a test has high reliability. O the test measures what the authors of the test claim it measures O people who take the same test twice get approximately the same scores both times O scores on the...
-
Trajectory specialists plan to send a spacecraft to Saturn requiring a gravitational assist by Jupiter. In Jupiter's rest frame the spacecraft's velocity will be turned \(90^{\circ}\) as it flies by,...
-
Find the most recent copy of the Financial Report of the U.S. Government. Evaluate it to determine the following: (a) Similarities and differences between the report and what you would expect after...
-
Find the most recent copy of the Financial Report of the U.S. Government. Evaluate it to determine the following: (a) Similarities and differences between the report and what you would expect after...
-
Obtain and evaluate copies of at least three GAGAS auditor reports. Write a brief paper summarizing your research and findings
-
Assume that Schmidt Machinery Company had the standard costs reflected in Exhibit 14.5. In a given month, the company used 3,475 pounds of aluminum to manufacture 925 units. The company paid $29.00...
-
How can one describe the relationship between Cassatt and Degas, given the ways they interacted with each other ?
-
Royal Oaks Realty's net revenue and net income for the following five-year period, using 2021 as the base year, follow: (Click the icon to view net revenue and net income for the five years.)...
Study smarter with the SolutionInn App