Exam 8: Government-Wide Statements, capital Assets, long-Term Debt

With regard to the government-wide statements,indicate the three categories of net assets that should be reported and describe what would be put into each category.

A local government recorded the sale of a capital asset by recording a debit to cash and credit to proceeds of sale of capital asset.What is the worksheet entry when preparing the government-wide statements?

When preparing the government-wide statements,worksheet entries are never booked; they are only used on the worksheets.

Government-wide financial statements are prepared using the accrual method of accounting.

GASB Statement 37 specifically requires capitalization of interest during construction in governmental funds for government-wide statements.

Which of the following is true regarding the government-wide Statement of Activities?

Which of the following is true regarding the government-wide Statement of Activities?

Internal Service Funds are most commonly incorporated into the governmental activities category of the government-wide statements.

For the depreciation of infrastructure....

Which of the following would be included in the Equity section of the Statement of Net Assets?

A company has bonds outstanding at the beginning of the current year.The debit in the worksheet entry to bring these on to the books would be to:

In addition to the fund basis statement,GASB Statement 34 requires government-wide statements that are prepared using the modified accrual basis and the economic resources measurement focus.

Which of the following would not be determined to result in asset impairment under GASB Statement 42?

On April 1,2012,a local government issued bonds in the amount of $1,500,000.The bonds were issued at par and carried an interest rate of 5%,payable October 1 and April 1.When moving from the change in fund balances in the governmental funds Statement of Revenues,Expenditures,and Changes in Fund Balances to the change in net Assets in the governmental funds column of the Statement of Activities,both for the fiscal year ended June 30,2012,the effect for the interest accrual only would be:

Which of the following is true concerning infrastructure assets?

With respect to government-wide statement,which of the following statements is correct?

Fiduciary activities are not reported in the government-wide statements.

The City of Smithfield levied property taxes in and for 2012 in the amount of $200 million.It is estimated that 1% will be uncollectible.During 2012,$180 million was collected,and $12 million was collected during the next 60 days.Smithfield recognizes the maximum possible property taxes in its governmental funds.The adjustment,when moving from the governmental funds changes in fund balances to the governmental activities change in net assets would be:

When preparing the government-wide statements,worksheet entries are not posted to the general journal.

General fixed assets are not required to be reported on the government-wide balance sheet.