TEST BANK FOR ACCOUNTING FOR GOVERNMENTAL & NONPROFIT ENTITIES 18TH EDITION JACQUELINE RECK, SUZANNE LOWENSOHN, DANIEL NEELY DUE MID NOVEMBER(CORRECTLY ANSWERED

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,Accounting for Governmental & Nonprofit Entities, 18e Jacqueline Reck,Suzanne
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Lowensohn, Earl Wilson (Test Bank All Chapters, 100% Original Verified, A+
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Grade) ii




Accounting for Governmental and Nonprofit Entities, 18e (Reck) ii ii ii ii ii ii ii



Chapter 1 Introduction to Accounting and Financial Reporting for Government and
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Not-for-Profit Entities
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1) Special purpose governments generally provide a wider range of services to their residents than do
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general purpose governments.
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Answer: FALSE i i



Difficulty: 1 Easy
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Topic: Distinguishing Government and Not-For-Profit Organizations
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Learning Objective: 01-01 Identify and explain the characteristics that distinguish government
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and not-for-profit entities from for-profit entities.
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Bloom's: Remember i i i i



AACSB: Knowledge Application i i i



AICPA: BB Industry
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2) Examples of general purpose governments include cities, towns, and public schools that receive tax
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revenue to finance the services they provide.
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Answer: TRUE i i



Difficulty: 1 Easy
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Topic: Distinguishing Government and Not-For-Profit Organizations
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Learning Objective: 01-01 Identify and explain the characteristics that distinguish government
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and not-for-profit entities from for-profit entities.
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Bloom's: Remember i i i i



AACSB: Knowledge Application i i i



AICPA: BB Industry
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3) The Governmental Accounting Standards Board (GASB) is the body authorized to establish
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accounting principles for all state and local governments, both general purpose and special
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purpose.
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Answer: TRUE i i



Difficulty: 1 Easy
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Topic: Sources of financial reporting standards
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Learning Objective: 01-02 Identify the authoritative bodies responsible for setting financial
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reporting standards for (1) state and local governments, (2) the federal government, and (3)
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not-for-profit organizations.
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Bloom's: Remember i i i i



AACSB: Knowledge Application i i i



AICPA: BB Industry
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,4) The Governmental Accounting Standards Board (GASB) is the body authorized to establish
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accounting principles for all government entities.
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Answer: FALSE i i



Difficulty: 1 Easy
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Topic: Sources of financial reporting standards
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Learning Objective: 01-02 Identify the authoritative bodies responsible for setting financial
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reporting standards for (1) state and local governments, (2) the federal government, and (3)
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not-for-profit organizations.
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Bloom's: Remember i i i i



AACSB: Knowledge Application i i i



AICPA: BB Industry
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5) The Financial Accounting Standards Board (FASB) is the body authorized to establish
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accounting principles for all colleges and universities and health care entities.
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Answer: FALSE i i



Difficulty: 1 Easy
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Topic: Sources of financial reporting standards
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Learning Objective: 01-02 Identify the authoritative bodies responsible for setting financial
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reporting standards for (1) state and local governments, (2) the federal government, and (3)
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not-for-profit organizations.
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Bloom's: Remember i i i i



AACSB: Knowledge Application i i i



AICPA: BB Industry
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6) Neither governments nor not-for-profit entities have residual equity that can be distributed to
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owners.
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Answer: TRUE i i



Difficulty:2Medium
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Topic: Distinguishing Government and Not-For-Profit Organizations
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Learning Objective: 01-01 Identify and explain the characteristics that distinguish government
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and not-for-profit entities from for-profit entities.
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Bloom's: Understand i i i i



AACSB: Knowledge Application i i i



AICPA: FN Reporting
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, 7) A characteristic common to governments and not-for-profit organizations is that they do not
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exist to provide goods or services at a profit or profit equivalent.
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Answer: TRUE i i



Difficulty:2Medium
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Topic: Distinguishing Government and Not-For-Profit Organizations
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Learning Objective: 01-01 Identify and explain the characteristics that distinguish government
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and not-for-profit entities from for-profit entities.
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Bloom's: Understand i i i i



AACSB: Knowledge Application i i i



AICPA: BB Industry
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8) The needs of users of government financial reports are the same as those of users of business
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entity financial reports.
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Answer: FALSE i i



Difficulty:2Medium
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Topic: Distinguishing Government and Not-For-Profit Organizations
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Learning Objective: 01-01 Identify and explain the characteristics that distinguish government
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and not-for-profit entities from for-profit entities.
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Bloom's: Understand i i i i



AACSB: Knowledge Application i i i



AICPA: BB Industry
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9) The Federal Accounting Standards Advisory Board (FASAB) recommends accounting
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principles and standards for the federal government and its agencies and departments.
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Answer: TRUE i i



Difficulty: 1 Easy
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Topic: Sources of financial reporting standards
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Learning Objective: 01-02 Identify the authoritative bodies responsible for setting financial
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reporting standards for (1) state and local governments, (2) the federal government, and (3)
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not-for-profit organizations.
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Bloom's: Remember i i i i



AACSB: Knowledge Application i i i



AICPA: BB Industry
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