Which of the following is a governmental fund that uses the current financial resources measurement focus?

Group of answer choices

Enterprise fund.

Internal service fund.

Special revenue fund.

Private‐purpose trust fund.

2-

Which of the following is a required financial statement for an investment trust fund?

Group of answer choices

Statement of revenues, expenditures, and changes in fiduciary net position.

Statement of activities.

Statement of revenues, expenses, and changes in fiduciary net position.

Statement of changes in fiduciary net position.

3-

In the government‐wide financial statement, the statement of net position, deferred outflows of resources are presented

Group of answer choices

As a part of liabilities.

As a part of equity.

In a separate section following assets.

In a separate section following liabilities.

4-

In which of the following fund types of a city government are revenues and expenditures recognized on the same basis of accounting as the general fund?

Group of answer choices

Pension trust.

Internal service.

Enterprise.

Debt service.

5-

Taxes collected and held by Eldorado County for a school district would be accounted for in which of the following funds?

Group of answer choices

Trust.

Custodial.

Special Revenue.

Internal Service.

6-

The Expenditures account of a governmental unit is increased when

A purchase order is approved

The budget is recorded

Group of answer choices

No

No

No

Yes

Yes

Yes

Yes

No

7-

Albee Township’s fiscal year ends on June 30. Albee uses encumbrance accounting. On April 5, year 1, an approved $1,000 purchase order was issued for supplies. Albee received these supplies on May 2, year 1, and the $1,000 invoice was approved for payment. What journal entry or entries should Albee make on May 2, year 1, upon receipt of the supplies and approval of the invoice?

Debit

Credit

Group of answer choices

Appropriations Encumbrances Supplies Vouchers Payable

$1,000 $1,000

$1,000 $1,000

Supplies Vouchers Payable

$1,000

$1,000

Budgetary Fund Balances Encumbrance Expenditures Vouchers Payable

$1,000 $1,000

$1,000 $1,000

Encumbrance Appropriations Fund Balance Accounts Payable

$1,000 $1,000

$1,000 $1,000

8-

In accordance with GASB 34, Basic Financial Statements—and Management’s Discussion and Analysis—for State and Local Governments, which of the following funds should be classified as governmental funds?

Group of answer choices

Private‐purpose trust funds.

Agency funds.

Permanent funds.

Pension trust funds.

9-

Park City uses encumbrance accounting and formally integrates its budget into the general fund’s accounting records. For the year ending July 31, year 1, the following budget was adopted:

Estimated revenues	$30,000,000
Appropriations	27,000,000
Estimated transfer to debt service fund	900,000

Park incurred salaries and wages of $800,000 for the month of April year 1. What account should Park debit to record this $800,000?

Group of answer choices

Encumbrances.

Salaries and Wages Expense.

Expenditures.

Operating Funds.

10-

Which of the following is the least authoritative guidance based on the GAAP Hierarchy for state and local governments?

Group of answer choices

GASB Statements and Interpretations.

GASB Technical Bulletins.

GASB Implementation Guides.

• GASB Concept Statements.

  
  

Answer rating: 100% (QA)

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