Accounting for Governmental & Nonprofit Entities, 18e
Jacqueline Reck,Suzanne Lowensohn, Earl Wilson (Test
Bank All Chapters, 100% Original Verified, A+ Grade)
1
,Accounting for Governmental and Nonprofit Entities, 18e (Reck)
Chapter 1 Introduction to Accounting and Financial Reporting for Government
and Not-for-Profit Entities
1) Special purpose governments generally provide a wider range of services to their
residents than do general purpose governments.
Answer: FALSE
Difficulty: 1 Easy
Topic: Distinguishing Government and Not-For-Profit Organizations
Learning Objective: 01-01 Identify and explain the characteristics that distinguish
government and not-for-profit entities from for-profit entities.
Bloom's: Remember
AACSB: Knowledge Application
AICPA: BB Industry
2) Examples of general purpose governments include cities, towns, and public schools
that receive tax revenue to finance the services they provide.
Answer: TRUE
Difficulty: 1 Easy
Topic: Distinguishing Government and Not-For-Profit Organizations
Learning Objective: 01-01 Identify and explain the characteristics that distinguish
government and not-for-profit entities from for-profit entities.
Bloom's: Remember
AACSB: Knowledge Application
AICPA: BB Industry
3) The Governmental Accounting Standards Board (GASB) is the body authorized to
establish accounting principles for all state and local governments, both general
purpose and special purpose.
Answer: TRUE
Difficulty: 1 Easy
2
,Topic: Sources of financial reporting standards
Learning Objective: 01-02 Identify the authoritative bodies responsible for setting
financial reporting standards for (1) state and local governments, (2) the federal
government, and (3) not-for-profit organizations.
Bloom's: Remember
AACSB: Knowledge Application
AICPA: BB Industry
3
, 4) The Governmental Accounting Standards Board (GASB) is the body authorized to
establish accounting principles for all government entities.
Answer: FALSE
Difficulty: 1 Easy
Topic: Sources of financial reporting standards
Learning Objective: 01-02 Identify the authoritative bodies responsible for setting
financial reporting standards for (1) state and local governments, (2) the federal
government, and (3) not-for-profit organizations.
Bloom's: Remember
AACSB: Knowledge Application
AICPA: BB Industry
5) The Financial Accounting Standards Board (FASB) is the body authorized to
establish accounting principles for all colleges and universities and health care
entities.
Answer: FALSE
Difficulty: 1 Easy
Topic: Sources of financial reporting standards
Learning Objective: 01-02 Identify the authoritative bodies responsible for setting
financial reporting standards for (1) state and local governments, (2) the federal
government, and (3) not-for-profit organizations.
Bloom's: Remember
AACSB: Knowledge Application
AICPA: BB Industry
6) Neither governments nor not-for-profit entities have residual equity that can be
distributed to owners.
Answer: TRUE
4
Jacqueline Reck,Suzanne Lowensohn, Earl Wilson (Test
Bank All Chapters, 100% Original Verified, A+ Grade)
1
,Accounting for Governmental and Nonprofit Entities, 18e (Reck)
Chapter 1 Introduction to Accounting and Financial Reporting for Government
and Not-for-Profit Entities
1) Special purpose governments generally provide a wider range of services to their
residents than do general purpose governments.
Answer: FALSE
Difficulty: 1 Easy
Topic: Distinguishing Government and Not-For-Profit Organizations
Learning Objective: 01-01 Identify and explain the characteristics that distinguish
government and not-for-profit entities from for-profit entities.
Bloom's: Remember
AACSB: Knowledge Application
AICPA: BB Industry
2) Examples of general purpose governments include cities, towns, and public schools
that receive tax revenue to finance the services they provide.
Answer: TRUE
Difficulty: 1 Easy
Topic: Distinguishing Government and Not-For-Profit Organizations
Learning Objective: 01-01 Identify and explain the characteristics that distinguish
government and not-for-profit entities from for-profit entities.
Bloom's: Remember
AACSB: Knowledge Application
AICPA: BB Industry
3) The Governmental Accounting Standards Board (GASB) is the body authorized to
establish accounting principles for all state and local governments, both general
purpose and special purpose.
Answer: TRUE
Difficulty: 1 Easy
2
,Topic: Sources of financial reporting standards
Learning Objective: 01-02 Identify the authoritative bodies responsible for setting
financial reporting standards for (1) state and local governments, (2) the federal
government, and (3) not-for-profit organizations.
Bloom's: Remember
AACSB: Knowledge Application
AICPA: BB Industry
3
, 4) The Governmental Accounting Standards Board (GASB) is the body authorized to
establish accounting principles for all government entities.
Answer: FALSE
Difficulty: 1 Easy
Topic: Sources of financial reporting standards
Learning Objective: 01-02 Identify the authoritative bodies responsible for setting
financial reporting standards for (1) state and local governments, (2) the federal
government, and (3) not-for-profit organizations.
Bloom's: Remember
AACSB: Knowledge Application
AICPA: BB Industry
5) The Financial Accounting Standards Board (FASB) is the body authorized to
establish accounting principles for all colleges and universities and health care
entities.
Answer: FALSE
Difficulty: 1 Easy
Topic: Sources of financial reporting standards
Learning Objective: 01-02 Identify the authoritative bodies responsible for setting
financial reporting standards for (1) state and local governments, (2) the federal
government, and (3) not-for-profit organizations.
Bloom's: Remember
AACSB: Knowledge Application
AICPA: BB Industry
6) Neither governments nor not-for-profit entities have residual equity that can be
distributed to owners.
Answer: TRUE
4
