Question 1

Contrast the accounting for internal and external portions of investment pools.

Accepted Answer

The internal portion of investment pools

Question 2

The government-wide and proprietary fund's Statement of Net Position report the net pension liability as a liability.

Accepted Answer

A) True 
 B)False

Question 3

The operations of agency funds will be included in which of the following statements?

Accepted Answer

A)  The fiduciary funds Statement of Fiduciary Net Position 
B)  The Statement of Changes in Fiduciary Net Position 
C)  The Government-wide Financial Statements 
D)  All of the above 
A)  The fiduciary funds Statement of Fiduciary Net Position 
B)  The Statement of Changes in Fiduciary Net Position 
C)  The Government-wide Financial Statements 
D)  All of the above

Question 4

Assets held in trust that are restricted to benefit the citizenry in general or in support of the reporting government's programs would be reported as permanent funds if nonexpendable.

Accepted Answer

A) True 
 B)False

Question 5

Which of the following is not an example of the function of an Agency Fund?

Accepted Answer

A)  Payment of pension benefits to retired government employees 
B)  Collection of local government sales taxes by the state government 
C)  Collection of property taxes for the school district by an elected county government official. 
D)  Periodic distribution by the state government of county sales taxes 
A)  Payment of pension benefits to retired government employees 
B)  Collection of local government sales taxes by the state government 
C)  Collection of property taxes for the school district by an elected county government official. 
D)  Periodic distribution by the state government of county sales taxes

Question 6

Fiduciary funds are separately stated in the government-wide financial statements.

Accepted Answer

A) True 
 B)False

Question 7

A ___________ is used when a contributor and a government agree that the principal and/or income of trust assets are for the benefit of individuals.

Accepted Answer

A)  Investment Trust. 
B)  Private-Purpose Trust. 
C)  Pension Trust. 
D)  Employee Benefit Trust. 
A)  Investment Trust. 
B)  Private-Purpose Trust. 
C)  Pension Trust. 
D)  Employee Benefit Trust.

Question 8

A county treasurer maintains an investment pool in which several different towns in the county hold investments. Where should the towns' investments be recorded?

Accepted Answer

A)  Investment Trust Fund. 
B)  Agency Fund. 
C)  Private-purpose Trust Fund. 
D)  None of the above. 
A)  Investment Trust Fund. 
B)  Agency Fund. 
C)  Private-purpose Trust Fund. 
D)  None of the above.

Question 9

When preparing financial statements, the internal portion of investment pools would be reported under which fund?

Accepted Answer

A)  Investment trust fund. 
B)  Private purpose trust fund. 
C)  Permanent fund. 
D)  The funds) providing the resources. 
A)  Investment trust fund. 
B)  Private purpose trust fund. 
C)  Permanent fund. 
D)  The funds) providing the resources.

Question 10

Agency fund assets belong to the party or parties for which the government acts as agent.

Accepted Answer

A) True 
 B)False

Question 11

Fiduciary funds are reported only in the fund-basis financial statements.

Accepted Answer

A) True 
 B)False

Question 12

What is a defined benefit pension plan?

Accepted Answer

The term to describe a pension

Question 13

Which of the following statements is correct with respect to establishing reporting requirements for governments entering into derivative instruments?

Accepted Answer

A)  Changes in the value of hedge derivatives are deferred and reported in the Statement of Net Position. 
B)  If a derivative is an investment derivative, the changes in the value of the derivative are deferred and reported in the Statement of Net Position. 
C)  GASB standards regarding derivatives do not apply to proprietary funds. 
D)  GASB standards regarding derivatives apply only to government financial statements prepared using the modified accrual basis of accounting. 
A)  Changes in the value of hedge derivatives are deferred and reported in the Statement of Net Position. 
B)  If a derivative is an investment derivative, the changes in the value of the derivative are deferred and reported in the Statement of Net Position. 
C)  GASB standards regarding derivatives do not apply to proprietary funds. 
D)  GASB standards regarding derivatives apply only to government financial statements prepared using the modified accrual basis of accounting.

Question 14

Which of the following statements is not correct with respect to Agency Funds?

Accepted Answer

A)  Assets accounted for in an agency fund belong to the party or parties for which the government acts as agent. 
B)  Assets are offset by an equal amount of liabilities. 
C)  Assets and liabilities are recognized at the time the government becomes responsible for the assets. 
D)  Agency funds use modified accrual accounting. 
A)  Assets accounted for in an agency fund belong to the party or parties for which the government acts as agent. 
B)  Assets are offset by an equal amount of liabilities. 
C)  Assets and liabilities are recognized at the time the government becomes responsible for the assets. 
D)  Agency funds use modified accrual accounting.

Question 15

Agency funds report no revenues, expenses, or fund equity accounts.

Accepted Answer

A) True 
 B)False

Question 16

Fiduciary fund financial statements include the Statement of Fiduciary Net Position, Statement of Changes in Fiduciary Net Position, and Statement of Cash Flows.

Accepted Answer

A) True 
 B)False

Question 17

Governmental investments in equity securities that have a determinable fair value are to be reported at fair value and any unrealized gains and losses are to be reported separately from realized gains and losses in the governmental operating statements.

Accepted Answer

A) True 
 B)False

Question 18

What is a cost sharing state pension plan?

Accepted Answer

A type of statewide retirement

Question 19

Which of the following statements is not true regarding agency funds?

Accepted Answer

A)  Agency funds use modified accrual accounting. 
B)  Agency funds report only assets and liabilities; no fund equities, revenues, or expenditures are recorded. 
C)  Agency funds are reported in the fiduciary funds Statement of Fiduciary Net Position. 
D)  None of the above; all are true. 
A)  Agency funds use modified accrual accounting. 
B)  Agency funds report only assets and liabilities; no fund equities, revenues, or expenditures are recorded. 
C)  Agency funds are reported in the fiduciary funds Statement of Fiduciary Net Position. 
D)  None of the above; all are true.

Question 20

Contrast a defined benefit and defined contribution retirement plan.

Accepted Answer

A defined benefit plan provides retireme

Contrast the accounting for internal and external portions of investment pools.

The government-wide and proprietary fund's Statement of Net Position report the net pension liability as a liability.

The operations of agency funds will be included in which of the following statements?

Assets held in trust that are restricted to benefit the citizenry in general or in support of the reporting government's programs would be reported as permanent funds if nonexpendable.

Which of the following is not an example of the function of an Agency Fund?

Fiduciary funds are separately stated in the government-wide financial statements.

A ___________ is used when a contributor and a government agree that the principal and/or income of trust assets are for the benefit of individuals.

A county treasurer maintains an investment pool in which several different towns in the county hold investments. Where should the towns' investments be recorded?

When preparing financial statements, the internal portion of investment pools would be reported under which fund?

Agency fund assets belong to the party or parties for which the government acts as agent.

Fiduciary funds are reported only in the fund-basis financial statements.

What is a defined benefit pension plan?

Which of the following statements is correct with respect to establishing reporting requirements for governments entering into derivative instruments?

Which of the following statements is not correct with respect to Agency Funds?

Agency funds report no revenues, expenses, or fund equity accounts.

Fiduciary fund financial statements include the Statement of Fiduciary Net Position, Statement of Changes in Fiduciary Net Position, and Statement of Cash Flows.

Governmental investments in equity securities that have a determinable fair value are to be reported at fair value and any unrealized gains and losses are to be reported separately from realized gains and losses in the governmental operating statements.

What is a cost sharing state pension plan?

Which of the following statements is not true regarding agency funds?

Contrast a defined benefit and defined contribution retirement plan.

Introduction to Accounting and Financial Reporting for Governmental and Not-For-Profit Organizations

Overview of Financial Reporting for State and Local Governments

Modified Accrual Accounting: Including the Role of Fund Balances and Budgetary Authority

Accounting for the General and Special Revenue Funds

Accounting for Other Governmental Fund Types: Capital Projects, Debt Service, and Permanent

Proprietary Funds

Government-Wide Statements: Capital Assets; Long-Term Debt

Advanced Topics for State and Local Governments

Accounting for Private Not-For-Profit Organizations

College and University Accounting

Accounting for Hospitals and Other Health Care Providers

Auditing, Tax-exempt Organizations, and Evaluating Performance

Financial Reporting by the Federal Government

Filters

Exam 7: Fiduciary Funds, Interfund Transactions

Contrast the accounting for internal and external portions of investment pools.

The government-wide and proprietary fund's Statement of Net Position report the net pension liability as a liability.

The operations of agency funds will be included in which of the following statements?

Assets held in trust that are restricted to benefit the citizenry in general or in support of the reporting government's programs would be reported as permanent funds if nonexpendable.

Which of the following is not an example of the function of an Agency Fund?

Fiduciary funds are separately stated in the government-wide financial statements.

A ___________ is used when a contributor and a government agree that the principal and/or income of trust assets are for the benefit of individuals.

A county treasurer maintains an investment pool in which several different towns in the county hold investments. Where should the towns' investments be recorded?

When preparing financial statements, the internal portion of investment pools would be reported under which fund?

Agency fund assets belong to the party or parties for which the government acts as agent.

Fiduciary funds are reported only in the fund-basis financial statements.

What is a defined benefit pension plan?

Which of the following statements is correct with respect to establishing reporting requirements for governments entering into derivative instruments?

Which of the following statements is not correct with respect to Agency Funds?

Agency funds report no revenues, expenses, or fund equity accounts.

Fiduciary fund financial statements include the Statement of Fiduciary Net Position, Statement of Changes in Fiduciary Net Position, and Statement of Cash Flows.

Governmental investments in equity securities that have a determinable fair value are to be reported at fair value and any unrealized gains and losses are to be reported separately from realized gains and losses in the governmental operating statements.

What is a cost sharing state pension plan?

Which of the following statements is not true regarding agency funds?

Contrast a defined benefit and defined contribution retirement plan.

Introduction to Accounting and Financial Reporting for Governmental and Not-For-Profit Organizations

Overview of Financial Reporting for State and Local Governments

Modified Accrual Accounting: Including the Role of Fund Balances and Budgetary Authority

Accounting for the General and Special Revenue Funds

Accounting for Other Governmental Fund Types: Capital Projects, Debt Service, and Permanent

Proprietary Funds

Government-Wide Statements: Capital Assets; Long-Term Debt

Advanced Topics for State and Local Governments

Accounting for Private Not-For-Profit Organizations

College and University Accounting

Accounting for Hospitals and Other Health Care Providers

Auditing, Tax-exempt Organizations, and Evaluating Performance

Financial Reporting by the Federal Government

Filters