Exam 11: Issues of Reporting, Disclosure, and Financial Analysis

The State has a legally separate State Building Authority which has a board appointed by the Governor.The authority issues debt in its own name, holds title to buildings in its own name, and leases its building exclusively to the State.The authority would be considered a(n)

Which of the following statements is not a required part of the basic financial statements of Carlton City?

A city's Revenue from own sources/Median family income ratio is a measure of its

Government colleges and universities have several reporting options under GAAP.What are they? What financial statements would be presented under each? What basis of accounting would be used?

The city created a legally separate port authority.Members of the board of the port authority are elected in general city elections.The port authority receives no tax dollars; it is supported entirely by user fees.The port authority determines its budget, sets user fees, and has the power to issue bonded debt.The authority would be considered a(n)

Of the following powers possessed by Government A, which is an indication that Government A can impose its will on Government B? Government A:

The county created a legally separate county hospital authority.Members of the board of the county hospital are elected in county-wide elections.The county must approve the budget of the hospital, but the hospital receives no financial support from the county, except that the county pays the hospital bills for county indigents.All revenues of the hospital are user fees.In what manner would the hospital be included in the county's basic financial statements?

Which of the following is generally considered to be a positive fiscal characteristic for a city?

The auditor's report generally refers to information in which of the following sections of the CAFR?

The city created a legally separate port authority.Members of the board of the port authority are elected in general city elections.The port authority receives no tax dollars; it is supported entirely by user fees.The port authority determines its budget, sets user fees, and has the power to issue bonded debt.In what manner would the port authority be included in the city's basic financial statements?

A government's financial condition

A special-purpose government that engages only in a single governmental-type program

Two cities entered into a contractual agreement to operate a landfill.The cities each contributed the necessary assets to operate the landfill in proportion to their populations.First City has the ability to appoint five members of the seven-person governing body of the landfill.The appointees serve for six-year terms, cannot be reappointed, and can be removed only for cause.First City has no obligation to contribute to the landfill if the landfill revenues are insufficient to cover current operating costs.The landfill would be considered a(n)

The financial reporting entity is composed of

Two cities entered into a contractual agreement to operate a landfill.The cities each contributed the necessary assets to operate the landfill in proportion to their populations.Each city has the ability to appoint two members of the governing body of the landfill, and each has an equity interest in the arrangement.The assets contributed by First City were primarily in the form of property and equipment that had been used in general government activities.In what manner would the landfill be included in First City's government-wide financial statements?

The introductory section of a CAFR includes which of the following?

The county created a legally separate county hospital authority.Members of the board of the county hospital are elected in county-wide elections.The county must approve the budget of the hospital, but the hospital receives no financial support from the county, except that the county pays the hospital bills for county indigents.All revenues of the hospital are user fees.The county hospital would be considered a(n)

When a component unit is blended into the financial statements of a primary government, the resulting fund financial statements will include two general funds.

A comprehensive annual financial report (CAFR)for Homer City need not include which of the following sections?

Fund financial statements for fiduciary funds include which of the following?