NFP HW MC Exam 1 Questions and
Answers 100% Pass
Oak Township issued the following bonds during the year:
- Bonds to acquire equipment for a vehicle repair service that is accounted
for in an internal service fund $3,000,000
-Bonds to construct a new city hall $8,000,000
-Bond to improve its water utility, which is accounted for in an enterprise
fond $9,000,000
The amount of debt to be reported in the general fund is
a. $0
b. $3,000,000
c. $8,000,000
1
Katelyn Whitman, All Rights Reserved © 2025
,d. $20,000,000 - ✔✔A
Oak Township should report depreciation in which of the following funds:
a. General fund
b. Special revenue fund
c. Internal service fund
d. Capital projects fund - ✔✔C
The city of Alpine incurred the following costs during the year in its
property tax collection department:
Purchase of computer equipment $ 10,000
Salaries and wages $400,000
Purchase of electricity from the city-owned electricity utility $ 40,000
Purchase of supplies, all of which were used during the year $ 10,000
As a consequence of these transactions, the amount the Alpine should
report as expenditures in its general fund is
2
Katelyn Whitman, All Rights Reserved © 2025
, a. $400,000
b. $410,000
c. $450,000
d. $460,000 - ✔✔D
Grove City received the following resources during the year:
Property taxes $50,000,000
federal grant to acquire police cars $ 400,000
Hotel taxes, which must be used to promote tourism $3,000,000
Proceeds of bonds issued to improve city's electric utility $12,000,000
The amount that the city should most likely report as revenues in its special
revenue funds is
a. $400,000
b. $3,000,000
c. $3,400,000
3
Katelyn Whitman, All Rights Reserved © 2025
Answers 100% Pass
Oak Township issued the following bonds during the year:
- Bonds to acquire equipment for a vehicle repair service that is accounted
for in an internal service fund $3,000,000
-Bonds to construct a new city hall $8,000,000
-Bond to improve its water utility, which is accounted for in an enterprise
fond $9,000,000
The amount of debt to be reported in the general fund is
a. $0
b. $3,000,000
c. $8,000,000
1
Katelyn Whitman, All Rights Reserved © 2025
,d. $20,000,000 - ✔✔A
Oak Township should report depreciation in which of the following funds:
a. General fund
b. Special revenue fund
c. Internal service fund
d. Capital projects fund - ✔✔C
The city of Alpine incurred the following costs during the year in its
property tax collection department:
Purchase of computer equipment $ 10,000
Salaries and wages $400,000
Purchase of electricity from the city-owned electricity utility $ 40,000
Purchase of supplies, all of which were used during the year $ 10,000
As a consequence of these transactions, the amount the Alpine should
report as expenditures in its general fund is
2
Katelyn Whitman, All Rights Reserved © 2025
, a. $400,000
b. $410,000
c. $450,000
d. $460,000 - ✔✔D
Grove City received the following resources during the year:
Property taxes $50,000,000
federal grant to acquire police cars $ 400,000
Hotel taxes, which must be used to promote tourism $3,000,000
Proceeds of bonds issued to improve city's electric utility $12,000,000
The amount that the city should most likely report as revenues in its special
revenue funds is
a. $400,000
b. $3,000,000
c. $3,400,000
3
Katelyn Whitman, All Rights Reserved © 2025
