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

The Governmental Accounting Standards Board (GASB) requires state and local governments to prepare two sets of financial statements which include:

The government has just voted to repair the parking garages to all federal building and estimate the cost to be $750,000.The government discloses this decision by debiting which account?

A county enacted a special tax levy and the money must be used to buy unused farmland for environmental preservation.What kind of fund should be used to record the revenues generated by the tax?

Under modified accrual accounting, when are expenditures recorded?

The school system had some brochures printed by a local printing service on September 22, 2018.The school system received an invoice showing an amount of $1,560 for the printing, but the bill is not due until October 15, 2018. Required: (A) Prepare the required journal entry in the general fund for the governmental fund financial statements. (B) Prepare the required journal entry for the government-wide financial statements.

For governmental entities, the accrual basis of accounting is used for:

Special Revenue funds are

Which of the following is not one of the categories for reporting fund balances of governmental funds?

Which of the following funds is most likely created with an endowed gift?

Which of the following is a governmental fund?

The City of Kamen collected $17,000 from parking meters that must be transferred to the county government in the next thirty days. Required: For fund financial statements, prepare the journal entry for the collection of the $17,000 from parking meters, including the fund type in which the entry would have been recorded.

Fiduciary funds are

On August 21, 2018, Fred City transferred $100,000 from one fund to another fund to cover major repairs to the town hall building. Required: Prepare all the required journal entries and identify the fund in which each entry was recorded for the governmental fund financial statements.

Which statement is not correct?

Annual budgets must be recorded within:

Shell City makes a transfer of $100,000 from the General fund to the Debt service fund. Required: Prepare the required journal entries and identify the funds in which they are recorded.

When a city received a county grant designated for providing food and other assistance to the homeless, the money should have been recorded in

Which of the following would be considered a derived tax revenue?

A new truck was ordered for the sanitation department at a cost of $122,200 on September 3, 2018. Required: (A) Prepare the required journal entry in the general fund for the governmental fund financial statements. (B) Prepare the required journal entry for the government-wide financial statements.

The Town of Anthrop has recorded the receipt of a $60,000 grant restricted for transporting all senior citizens to polling locations on Election Day in November of 2018.The town now spends $60,000 to transport the citizens on Election Day. Required: Prepare the journal entry (or entries), and identify the fund for recording, to record that the town spends $60,000 of the grant it received to transport senior citizens on Election Day.