Question 1

The Financial Accounting Foundation has oversight over both FASB and GASB.

Accepted Answer

A) True 
 B)False

Question 2

The minimum requirements for general purpose external financial reporting are (1)management's discussion and analysis (MD&A), (2)the basic financial statements,including the notes to the financial statements,and (3)combining and individual fund financial statements.

Accepted Answer

A) True 
 B)False

Question 3

In addition to financial statements and notes,GASB requires governments to provide information on service efforts and accomplishments (SEA)in their reports to the public.

Accepted Answer

A) True 
 B)False

Question 4

Which of the following would typically not be included in the introductory section of a comprehensive annual financial report?

Accepted Answer

A)  Title and contents page. 
B)  Letter of transmittal. 
C)  A description of the government. 
D)  Summary of the government's current financial position and results of financial activities.

Question 5

Identify and explain the characteristics that distinguish governmental and not-for-profit entities from business entities.

Accepted Answer

The answer of Identify and explain the characteristics that distinguish...

Question 6

Interperiod equity refers to the concept that current-year revenues are sufficient to pay for services provided that year,so that future taxpayers will not be required to assume the burden for services previously provided.

Accepted Answer

A) True 
 B)False

Exam 1: Introduction to Accounting and Financial Reporting for Governmental and Not-For-Profit Entities

The Financial Accounting Foundation has oversight over both FASB and GASB.

The minimum requirements for general purpose external financial reporting are (1)management's discussion and analysis (MD&A), (2)the basic financial statements,including the notes to the financial statements,and (3)combining and individual fund financial statements.

In addition to financial statements and notes,GASB requires governments to provide information on service efforts and accomplishments (SEA)in their reports to the public.

Which of the following would typically not be included in the introductory section of a comprehensive annual financial report?

Identify and explain the characteristics that distinguish governmental and not-for-profit entities from business entities.

Interperiod equity refers to the concept that current-year revenues are sufficient to pay for services provided that year,so that future taxpayers will not be required to assume the burden for services previously provided.