Exam 16: A: Accounting for State and Local Governments, Part I

Simple City has recorded the purchase order of two trucks for a total of $100,000. Prepare the journal entries to reflect that the two trucks have been received with an invoice amount of $105,000.This invoice has been approved but not yet paid.Identify the fund in which the entries are recorded.

In governmental accounting, what term is used for a decrease in financial resources?

Trapper City issued 30-year bonds for the purpose of building a new City Hall.The proceeds of the bonds are deposited in the General Fund.For the governmental fund financial statements, in what fund will Bonds Payable appear?

When a city received a federal grant designated for books to be purchased for a library, the money should have been recorded in

On January 1, 2018, Wakefield City purchased office supplies for $40,000.During the year, $35,000 of these supplies were used. Required: Record the journal entries for these transactions using the purchases method.(Disregard the encumbrance entries.)

Which statement most accurately reflects property taxes?

Which group of financial statements is prepared using the "modified accrual accounting" approach?

How do the balance sheet and statement of revenues, expenditures, and changes in fund balances of governmental funds differ from the financial statement presentation for the governmental activities in the government-wide statement of net assets and statement of activities? (1) Internal service funds are not included in the fund financial statements of governmental funds but could be reported in the governmental activities of government-wide financial statements. (2) The economic resources measurement basis is used for fund financial statements of governmental funds and the current financial resources measurement basis is used for governmental activities in the government-wide financial statements. (3) Modified accrual accounting is used for fund financial statements of governmental funds to time revenues and expenditures and accrual accounting is used for governmental activities of government-wide financial statements. (4) The financial statements of governmental funds for fund financial statements are the same as governmental activities in government-wide financial statements but with different titles of the financial statements.

Under modified accrual accounting, when should revenues be recognized by a governmental-type fund?

What is the definition of the term fund?

What are the four fiduciary fund types?

The term "current financial resources" refers to

Which of the following is not a classification of non-exchange transactions?

When a city collects admission fees from citizens who use the public swimming pool, the money should be recorded in

On July 12, 2018, Fred City ordered a new computer at an anticipated cost of $114,400.The computer was received on July 16, 2018 with an actual cost of $116,220.Payment was subsequently made on August 15, 2018. Required: (A) Prepare all the required journal entries and identify the type of fund in which each entry was recorded for the governmental fund financial statements. (B) Prepare all the required journal entries to be recorded for the government-wide financial statements.

Which of the following statements is true about Fund Balance classifications for the governmental funds?

Salaries and wages that have been earned by governmental employees that have not yet been paid are recorded in the general fund as:

Which of the following statements is true regarding governmental fund financial statements?

On July 1, 2018, Fred City ordered $1,500 of office supplies.They were to be paid for out of the general fund. Required: (A) What journal entry was required for the governmental fund financial statements? (B) What journal entry was required for the government-wide financial statements?

When should property taxes be recognized under modified accrual accounting?