Missed Questions

Front 1

What is the journal entry for issuing a purchase order for supplies in governmental accounting?

Back 1

Encumbrances

Budgetary Fund Balance

Front 2

Back 2

500,000

Front 3

Which costs are capitalized related to developing and installing internally generated computer software? (GASB)

Back 3

Stage 2: Application and development.

The preliminary project stage and the post implementation stage should be expensed as incurred.

Front 4

Government has the following debt:

Capital lease Lia that mature in more than one year: 2000000

Net pension liability: 4000000

General governmental bonds that mature the next fiscal year: 14000000

What amount of debt should be reported in the long term liabilities in the government wide financial positions?

Back 4

20,000,000. All of the items listed are a matured long term liabilities of the general government that will not be recorded in any of the governmental funds, but will appear as liabilities and the government wide statement of net position.

Front 5

Excel city's water utility enterprise fund issues 10 million in 20 year serial revenue bonds to finance a major expansion of one of its water treatment plants. $500,000 in bonds mature each year. as a result of the transaction the year-end long-term liability in the governmental activities section of the government wide financial statement accounts will reflect:

0

+9500000

[phone]

-500000

Back 5

0. Water utility Enterprise Fund uses full accrual accounting and will account for and report on the bonds in the enterprise fund and therefore this liability appears in the business type activity section of the government wide financial statements and not in the governmental Activities section.

Front 6

The city of curtain had the following interfund transactions during the month of May:

Billing by the internal service fun to a department financed by the general fund for services rendered in the amount of 5000

Transfer of 200000 from the general fund to establish a new enterprise fund

Routine transfer of 50000 from the general fund to the debt service fund

What was the total reciprocal interfund activity for curtain during May?

Back 6

5000. A reciprocal transaction occurs from doing business with one another such as the billing of services by an internal service fund to other funds or departments in the government.

Front 7

Layton city received a 20 million dollar federal grant to finance the construction of Charlie's place, a residential treatment center for the rehabilitation of drug and alcohol addicts. the proceeds for this grant should be accounted for in the:

General fund

permanent trust fund

special Revenue Fund

capital project fund

Back 7

Capital projects fund. The capital project funds are used to account for the receipt and disbursement of resources restricted to the acquisition of major capital facilities through purchase or construction other than those financed by proprietary or trust funds.

Front 8

In 2011 Cameron city received four million from the sale of general obligation bonds to be used for major street and bridge renovations. 3 million is expected to be spent in 2011, and the remainder will be spent in 2012. when will Cameron report the bond proceeds at other financing source in its capital projects fund?

Back 8

4000000 in 2011. Capital project fund record the entire amount of the bond proceeds as an other financing source in the year that the proceeds are received even though the expenditures occur over two years under modified accrual accounting the entire amount of the proceeds are recorded as a resource of the fund when received.

Front 9

The General Fund paid an invoice for telecommunications that includes charges road by the water utility Enterprise Fund the Enterprise Fund subsequently remits its share of telecommunications charges to the general fund the general fund record the amount received from the Enterprise Fund as:

An increase to revenue

an increase to operating transfers in

A decrease in expenses

a decrease in expenditures

Back 9

A decrease in expenditures.

Front 10

A citys general fund contributes $150,000 to its debt Service Fund to meet up coming Service requirements for a general obligation serial bond. The General Fund should report this as an:

Expenditure of 150

capital contribution of 150

operating transfer of 150

interfund loan of 150

Back 10

Operating transfer of 150. General fund transfer to the debt service fund to provide for servicing of debt is an example of a regular routine reoccurring transfer of resources between funds to subsidize current activities that are classified as operating transfers.

Front 11

Jim city's internal Service Fund received a residual equity transfer of $50,000 cash from the general fund this $50,000 transfer should be reported in Jim's internal Service Fund as a credit to:

Revenues

Other financing sources

Accounts payable

Transfers

Back 11

Transfers.

Front 12

Which method of Cash Flows should governmental entities use?

Back 12

Direct method.

Front 13

Shared revenues should be accounted for as which of the following (governmental):

Operating revenues

Non operating revenues

Other financing sources

Interfund transfers

Back 13

No operating revenues. Because they aren't a result of the ongoing activities of the fund, they should not be operating revenues.

Front 14

An enterprise fund would be used when the governing body requires that:

1. Accounting for the financing of an agency's services to other governmental departments be on a cost reimbursement basis.

2. User charges cover the costs of general public services.

3. Net income information be provided for an activity.

Back 14

2 and 3. 1 is a description of an internal service fund.

Front 15

At the beginning of the year packs counties Enterprise Fund had a $125,000 balance for accrued compensated absences. at the end of the year, the balance was 150,000. during the year tax paid 400000 for compensated absences. What amount of compensated absences expense should be reported for the year?

Back 15

425. (150+400-125)

Front 16

One feature of state and local government accounting and financial reporting is that fixed assets used for general governmental activities:

*Often are not expected to contribute to the generation of revenues

*do not depreciate as a result of use

*are acquired only when direct contribution to revenue is expected

*should not be maintained at the same level of those of businesses so that current financial resources can be used for other government services.

Back 16

Are often not expected to contribute to the generation of revenues.

Front 17

Which of the following is not a characteristic of a fund?

Fiscal entity

accounting entity

separate legal entity

all of the above

Back 17

Separate legal entity.