Exam 3: Governmental Operating Statement Accounts; Budgetary Accounting

GASB standards require that all state and local governments present a statement of revenues,expenditures,and changes in fund balances-budget and actual for the General Fund,and major special revenue funds for which annual budgets have been legally adopted.

When computers are ordered by the mayor's office,the purchase order should be recorded in the General Fund as a debit to:

When the budget for the General Fund is recorded,the required journal entry will include

The Board of Aldermen of Fitchburg approved the appropriations budget for its General Fund for the year ending December 31,as shown below. 1)Explain the legal significance of an appropriation and why auditors engaged for a financial and compliance audit need to know the meaning of the term. 2)It is illegal for a government to spend money for any purpose unless a valid appropriation for that purpose exists.Does this legal rule assure good financial management for each government? Why or why not?

The Appropriations account of a governmental fund is credited when

Encumbrances outstanding at year-end in the General Fund should be reported as a

Which of the following is true regarding other financing sources and other financing uses?

GASB standards suggest the following classification scheme for expenditures: A.Function B.Program C.Organization unit D.Activity E.Character F.Object For each of the following expenditure items,indicate its correct classification by placing the appropriate letter in the blank space next to the item.____ 1.Solid waste collection-residential ____ 2.City clerk ____ 3.Supplies ____ 4.Transportation ____ 5.Health and welfare

The Expenditures control account of a government is debited when

The County Commission of Benton County adopted its General Fund budget for the year ending June 30,comprising estimated revenues of $3,200,000 and appropriations of $2,900,000.Benton County utilizes the budgetary accounts required by GASB standards.The journal entry to record budgeted appropriations will include

All decreases in fund financial resources,other than for repayment of fund liabilities,are termed "expenditures."

When supplies ordered for use in an activity accounted for in the General Fund are received at an actual price that is more than the estimated price on the purchase order,the Encumbrance account is

A liability is recorded in governmental funds when:

Expenditures for supplies ordered by a special revenue fund were inadvertently recorded in the accounts of the General Fund in the amount of $100.Upon reimbursement of the $100,later the same month,the journal entry for the General Fund would include

When the budget of a government is adopted and Estimated Revenues exceed Appropriations,the excess is

When the budget for the General Fund is recorded,the required journal entry will include

Interfund transfers and debt issue proceeds received by the General Fund should be recorded as other financing sources.

Which of the following will increase the fund balance of a government at the end of the fiscal year?

The Expenditures control account of a government is credited when:

Which of the following is not a budgetary account?