Exam 12: State and Local Governments: External Financial Reporting

Listed bellow are the required balance sheets and statements of net position for a county government: Required On which balance sheet(s) would each of the following accounts appear? Identify the financial statement(s) by number. The account may appear on one or more or none of the statements. If the account is not reported on any of the above financial statements, your answer is N/A. -Fund statement: statement of net position-proprietary funds

The CAFR is required to include basic financial statements. Which item below is not included in the basic financial statements?

Here are some of the financial statements required in the CAFR for the State of Rhode Island: For each of the following accounts related to the financial performance of the State of Rhode Island, indicate on which of the above financial statements the account is reported. The account may appear on one statement, more than one statement, or none of the statements. Indicate the number(s) of the statement(s) next to each account title. If the item is not reported on any of the above statements, write N/A in the space. -Government-wide statement: Statement of net position

The following information is available concerning the financial activities of the City of New York for the year ended June 30, 2017. The City uses the purchases method for inventory, and its landfill is a governmental fund. All amounts are in millions. Total fund balances -governmental funds, June 30, 2017 \ 3,544 Net pension liability - governmental funds 64,847 OPEB liability - proprietary funds 85 Inventories - governmental funds 402 Lease obligations - governmental funds 1,571 Long-term bonds and notes payable - governmental funds 86,209 Capital assets, net of accumulated depreciation - governmental funds 54,952 Net position-fiduciary funds 222,965 Deferred outflows of resources: bond refunding-governmental funds 13,489 Deferred inflows of resources: pensions -governmental funds 1,727 OPEB liability - governmental funds 94,502 Other long-term assets-governmental funds 44 Accrued noncurrent vacation and sick leave-governmental funds 4,263 Accrued interest payable-governmental funds 1,068 Landfill closure and post-closure care liability-governmental funds 1,466 Other long-term liabilities-governmental funds 10,304 Total assets-custodial funds 4,072 Capital assets, net of accumulated depreciation-proprietary funds 541 Required Prepare a schedule showing a reconciliation of total fund balances-governmental funds (reported on the governmental funds balance sheet) to net position-governmental activities (reported on the government-wide statement of net position). Not all the information provided is used in this reconciliation.

Here are the government-wide financial statements and the funds statements for governmental and proprietary funds, for the State of California: Required For each of the following account titles reported in the financial statements of the State of California, indicate on which of the above six financial statements the item is reported. The account balance may be reported on one statement, more than one statement, or none of the statements. Indicate the number(s) of the statement(s) next to each item. If the item is not reported on any of the above statements, write N/A next to the item. -Governmental funds balance sheet

Here is information on a town government's governmental funds at the end of the current year: Fund balances, governmental funds \ 14,000,000 Capital assets, accumulated depreciation 12,000,000 Principal of long-term debt 25,000,000 Noncurrent accrued compensated absences 2,000,000 Capital assets, at cost 54,000,000 Net pension and OPEB obligation 30,000,000 The net position of governmental activities at the end of the current year is:

Which financial statements are prepared using modified accrual accounting?

Securities investments of a state or local government are reported at fair value in the government-wide statement of net position

Here are some of the financial statements required in the CAFR for the City of White Plains, NY: Required For each of the following accounts related to the financial performance of the City of White Plains, indicate, by number, on which of the above financial statements the item is reported. The account may be reported on one statement, more than one statement, or none of the statements. If the item is not reported on any of the above statements, your answer is N/A. -Government-wide statement: Statement of activities

A county landfill is an enterprise fund. The county presents a budgetary comparison schedule for the landfill, using the modified accrual basis to report actual fiscal 2020 revenues in excess of expenditures and other financing sources (uses) of $500,000. However, the landfill's operating statement, prepared using full accrual accounting, reports a fiscal 2020 change in net position of $530,370. The following information is available for fiscal 2020 for the landfill. 1) Depreciation expense was $850,000. 2) Noncurrent compensated absences payable increased by $600. 3) Inventory increased by $1,400 (purchases method used for modified accrual reporting). 4) Debt principal payment was $1,600,000. 5) Capital outlay was $1,450,000. 6) Accrued interest payable increased by $430. 7) OPEB and pension liabilities increased by $1,950,000 due to benefits earned by landfill employees in fiscal 2020. 8) Amortization of deferred outflows of resources for pensions was $240,000. 9) Book value of capital assets sold was $50,000. 10) Amortization of deferred outflows of resources for debt refunding was $30,000. 11) Amortization of bond premium was $100,000. Required Prepare a schedule reconciling the $500,000 revenues in excess of expenditures and other financing sources (uses) to the $530,370 change in net position for the Water Fund.

Listed bellow are the required balance sheets and statements of net position for a county government: Required On which balance sheet(s) would each of the following accounts appear? Identify the financial statement(s) by number. The account may appear on one or more or none of the statements. If the account is not reported on any of the above financial statements, your answer is N/A. -Fund statement: statement of fiduciary net position

Use the following information to answer Questions bellow: At the beginning of fiscal 2020, the county government signs a 2-year lease, with $50,000 paid at signing, and $50,000 due at the end of fiscal 2020. The lease has an implicit interest rate of 3%, the present value of the lease payments is $98,544, and the leased equipment has an estimated life equal to the life of the lease, no residual value. -The lease is reported in an enterprise fund. What amount is reported as total expenses for this lease in the fiscal 2020 proprietary funds statement of revenues, expenses and changes in net position?

Here is information on a county government's governmental funds at the end of the current year: Fund balances, governmental funds \ 6,000,000 Accrued interest on long-term debt 50,000 Principal of long-term debt 10,000,000 Capital assets net of accumulated depreciation 8,000,000 Net OPEB obligation 700,000 Net pension obligation 2,500,000 The net position of governmental activities, reported on the government-wide statement of net position, is:

The government-wide statement of activities includes all but which one of the following items?

Below is information on a county's defined benefit pensions for employees of governmental and proprietary funds, found on the government-wide financial statements for fiscal 2020. •The total pension liability, measured at the end of fiscal 2020, is $600,000,000, while the total pension liability, measured at the end of fiscal 2019, is $540,000,000. •Net increase in deferred outflows related to pensions was $25,000,000; amortization of deferred outflows to pension expense was $1,000,000. •Net increase in deferred inflows related to pensions was $3,000,000; amortization of deferred inflows to pension expense was $300,000. •The county transferred $20,000,000 in cash to the pension trust fund. Required Prepare the summary journal entry or entries to record the county's pension expense and cash payment for fiscal 2020 in the government-wide financial statements.

Here are some of the financial statements required in the CAFR for the State of Rhode Island: For each of the following accounts related to the financial performance of the State of Rhode Island, indicate on which of the above financial statements the account is reported. The account may appear on one statement, more than one statement, or none of the statements. Indicate the number(s) of the statement(s) next to each account title. If the item is not reported on any of the above statements, write N/A in the space. -Fund statement: Statement of net position-Proprietary funds

Listed bellow are the required balance sheets and statements of net position for a state government: Required On which balance sheet(s) would each of the following accounts appear? Identify the financial statement(s) by number. The account may appear on one or more or none of the financial statements. If the account is not reported on any of the above financial statements, your answer is N/A. -Fund statement: statement of fiduciary net position

In the government-wide statement of activities, business-type activities report on the activities of which funds?

In its statement of activities, a county government reports general government expenses of $420 million. In the governmental funds operating statement, general government expenditures are $341 million. Which cost item would be least likely to account for the discrepancy between these two numbers?

Use the following information to answer Questions bellow: At the beginning of fiscal 2019, a county government acquires equipment for $4,000,000. The equipment has an estimated life of 5 years, and straight-line depreciation is used, with no residual value, if appropriate. At the end of fiscal 2020 (two years later), the government disposes of the equipment for $1,800,000. -If the equipment is reported in the general fund, what amount is included in the fiscal 2019 reconciliation of the change in fund balances of governmental funds to the change in net position of governmental activities, related to this equipment?