©BRIGHTSTARS 2025 ALL RIGHTS RESERVED 11:22 AM A+
NFP Final Exam Questions And Answers
|Latest 2025 | Guaranteed Pass.
Blended presentation - Answer✔Method of reporting the financial data of a component unit in
a manner similar to the way the primary gov't presents their financial data.
Under this method, the CU data are combined with fund types of the primary gov't and
reported in the same columns except GF
Component unit - Answer✔Separate gov't/agencies/NFP corps that are combined with other
CU to constitute the reporting entity
Entities the primary gov't is financially accountable for.
Reports them through blended or discrete presentation
Discrete presentation - Answer✔Method of reporting financial data of CU in a column separate
from financial data of the primary gov't
Financially accountable - Answer✔When a primary gov't either...
appoints a voting majority of an organization's governing board and can impose its will on the
organization
OR
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, ©BRIGHTSTARS 2025 ALL RIGHTS RESERVED 11:22 AM A+
organization can provide specific benefits to the primary gov't
Financial reporting entity - Answer✔Primary gov't and all related CU constituting the gov't
reporting entity
Fiscally dependent - Answer✔Conditions where an organization provides specific financial
benefits or imposes specific financial burdens on the primary gov't
Intra-entity transactions - Answer✔Non/exchange transactions between the primary gov't and
its CU's
Joint venture - Answer✔Legal entity from a contractual arrangement that is operated by 2+
participants as a separate and specific activity under joint control
Jointly governed organizations - Answer✔Regional gov't and other multigov't arrangement that
is governed by reps
Other comprehensive basis of accounting (OCBOA) - Answer✔Encompass bases of accounting
that are not GAAP
Bases included are...
cash
modified cash
regulatory basis
income tax basis
substantial support criteria basis
2|P a g e
NFP Final Exam Questions And Answers
|Latest 2025 | Guaranteed Pass.
Blended presentation - Answer✔Method of reporting the financial data of a component unit in
a manner similar to the way the primary gov't presents their financial data.
Under this method, the CU data are combined with fund types of the primary gov't and
reported in the same columns except GF
Component unit - Answer✔Separate gov't/agencies/NFP corps that are combined with other
CU to constitute the reporting entity
Entities the primary gov't is financially accountable for.
Reports them through blended or discrete presentation
Discrete presentation - Answer✔Method of reporting financial data of CU in a column separate
from financial data of the primary gov't
Financially accountable - Answer✔When a primary gov't either...
appoints a voting majority of an organization's governing board and can impose its will on the
organization
OR
1|P a g e
, ©BRIGHTSTARS 2025 ALL RIGHTS RESERVED 11:22 AM A+
organization can provide specific benefits to the primary gov't
Financial reporting entity - Answer✔Primary gov't and all related CU constituting the gov't
reporting entity
Fiscally dependent - Answer✔Conditions where an organization provides specific financial
benefits or imposes specific financial burdens on the primary gov't
Intra-entity transactions - Answer✔Non/exchange transactions between the primary gov't and
its CU's
Joint venture - Answer✔Legal entity from a contractual arrangement that is operated by 2+
participants as a separate and specific activity under joint control
Jointly governed organizations - Answer✔Regional gov't and other multigov't arrangement that
is governed by reps
Other comprehensive basis of accounting (OCBOA) - Answer✔Encompass bases of accounting
that are not GAAP
Bases included are...
cash
modified cash
regulatory basis
income tax basis
substantial support criteria basis
2|P a g e
