Exam 14: Financial Reporting by the Federal Government

Which of the following is accurate regarding a federal agency's Statement of Net Costs?

In addition to the Balance Sheet, Statement of Net Cost and Statement of Changes in Net Position, Federal government reporting standards includes which of the following:

Which of the following accounts are used to display the difference between assets and liabilities in a federal agency Balance Sheet?

Which of the following should appear within the equity net position) section of a federal agency balance sheet?

Which of the following organizations is are) part of the executive branch of the federal government?

Operating Expense: Contracted Services is an example of which type of federal government account? Budgetary Proprietary Account Account A) $\text { No } \quad\quad\quad\quad\quad \text { Yes }$ B) $\text { Yes, } \quad\quad\quad\quad\quad \text { No }$ C) $\text { No\quad\quad\quad\quad\quad\quad No }$ D) $\text { Yes } \quad\quad\quad\quad\quad \text { Yes }$

The federal government also publishes an annual Citizen's Guide to the Financial Report of the U.S. Government. Which of the following is correct with respect to this publication?

The Reconciliation of Net Operating Cost and Unified Budget Deficit is similar in purpose to the reconciliation of the Statement of Activities to the governmental funds Statement of Revenues, Expenditures, and Changes in Fund Balance required by state and local governments.

Which of the following steps in the federal government's budgetary authority process is most similar to the recording of encumbrances by state and local governments?

Which organization promulgates Statements of Federal Financial Accounting Standards?

The Office of Management and Budget, together with the Government Accountability Office GAO and the Department of the Treasury, are the primary organizations charged with financial management of the federal government.

The Statement of Net Cost of a federal agency is prepared on the accrual basis of accounting.

Which of the following steps in the budgetary authority process occurs when Congress passes a spending bill which is signed by the President?

The annual financial report of the U.S. government is prepared by the Government Accountability Office and audited by the Department of the Treasury.

Assume a federal agency has the following events: 1. Receives a warrant from the Treasury notifying the agency of appropriations of $12,000,000. 2. OMB apportions 1/4^th of the appropriation for the first quarter of the year. 3. The Director of the agency allots $ 2,850,000 to program units. 4. Program units place orders $ 2,790,000. 5. Supplies $ 490,000) and services $ 2,291,000) are received and paid during the first quarter. Supplies of $ 417,000 were used in the quarter. Required: Prepare any necessary journal entries to reflect the events described above. Identify whether the entry is budgetary or proprietary.

The purpose of apportionment is to prevent the federal agency from spending an appropriation too rapidly and having to request a supplemental appropriation later in the year.

Which of the following events will result in a journal entry being recorded in both the budgetary and proprietary accounts of a federal agency?

Which of the following statements appearing in the federal government's consolidated financial report are prepared on the accrual basis of accounting?

The Department of Treasury maintains a government-wide system of accounts and prepares the federal government's consolidated financial statements.

Identify in order of occurrence the steps in the federal budgetary authority process.