ACCT 4421 final COMPLETE EXAM LATEST
VERSION 2026-2027 QUESTIONS AND 100%
Verified ANSWERS
The Senior League, a not-for-profit welfare agency, redeemed a $100,000 bond that it had
held as an investment of unrestricted resources. It also received an interest payment of
$6,000. In its statement of cash flows, the league should report: a. $106,000 as cash flow
from investing activities
b. $106,000 as a cash flow from operating activities
c. $100,000 as a cash flow from investing activities and $6,000 as a cash flow from
financing activities.
d. $100,000 as a cash flow from investing activities and $6,000 as a cash flow from
operating activities. - answer>>>D
Harley Safe Place, a not-for-profit organization, received an unrestricted pledge of
$600,000. The donor promised to make payment within six months (which would be in
the organization's next fiscal year). At the time of the pledge, the organization should
recognize:
a. Revenue of $600,000 in a temporarily restricted fund.
b. Revenue of $600,000 in an unrestricted fund.
c. Deferred revenue of $600,000 in a temporarily restricted fund.
d. Deferred revenue of $600,000 in an unrestricted fund. - answer>>>A
The statement of cash flows of a not-for-profit should be divided into which of the
following categories of cash flows?
a. Operating activities, noncapital financing activities, capital and related financing
activities, investing activities
b. Operating activities, capital activities, investing activities.
c. Operating activities, financing activities, capital activities
, -
d. Operating activities, financing activities, investing activities - answer>>>D
Walden Institute, a not-for-profit, politically oriented association, was promised a $1
million endowment on condition that it establish a program in entrepreneurial studies
and hire a leading scholar to lead it. Upon receiving the pledge the institute should
recognize:
a. Zero revenue
b. Revenue of $1 million in a permanently restricted fund
c. Revenue of $1 million in a temporarily restricted fund
d. Deferred revenue of $1 million in a permanently restricted fund. - answer>>>A
In order for a special purpose government to be considered a primary government, it
must
a. Be fiscally independent of other governments
b. Set own budget
c. Ability to levy taxes
d. All of the above. - answer>>>D
For governments that elect to depreciation infrastructure, RSI would not include which of
the following?
a. Actual to budget comparison
b. Details of pension accrual
c. Information about maintaining and preserving long term assets
d. None of the above - answer>>>C
The auditor's report generally includes an opinion on which of the following sections of a
CAFR?
a. The financial section only.
VERSION 2026-2027 QUESTIONS AND 100%
Verified ANSWERS
The Senior League, a not-for-profit welfare agency, redeemed a $100,000 bond that it had
held as an investment of unrestricted resources. It also received an interest payment of
$6,000. In its statement of cash flows, the league should report: a. $106,000 as cash flow
from investing activities
b. $106,000 as a cash flow from operating activities
c. $100,000 as a cash flow from investing activities and $6,000 as a cash flow from
financing activities.
d. $100,000 as a cash flow from investing activities and $6,000 as a cash flow from
operating activities. - answer>>>D
Harley Safe Place, a not-for-profit organization, received an unrestricted pledge of
$600,000. The donor promised to make payment within six months (which would be in
the organization's next fiscal year). At the time of the pledge, the organization should
recognize:
a. Revenue of $600,000 in a temporarily restricted fund.
b. Revenue of $600,000 in an unrestricted fund.
c. Deferred revenue of $600,000 in a temporarily restricted fund.
d. Deferred revenue of $600,000 in an unrestricted fund. - answer>>>A
The statement of cash flows of a not-for-profit should be divided into which of the
following categories of cash flows?
a. Operating activities, noncapital financing activities, capital and related financing
activities, investing activities
b. Operating activities, capital activities, investing activities.
c. Operating activities, financing activities, capital activities
, -
d. Operating activities, financing activities, investing activities - answer>>>D
Walden Institute, a not-for-profit, politically oriented association, was promised a $1
million endowment on condition that it establish a program in entrepreneurial studies
and hire a leading scholar to lead it. Upon receiving the pledge the institute should
recognize:
a. Zero revenue
b. Revenue of $1 million in a permanently restricted fund
c. Revenue of $1 million in a temporarily restricted fund
d. Deferred revenue of $1 million in a permanently restricted fund. - answer>>>A
In order for a special purpose government to be considered a primary government, it
must
a. Be fiscally independent of other governments
b. Set own budget
c. Ability to levy taxes
d. All of the above. - answer>>>D
For governments that elect to depreciation infrastructure, RSI would not include which of
the following?
a. Actual to budget comparison
b. Details of pension accrual
c. Information about maintaining and preserving long term assets
d. None of the above - answer>>>C
The auditor's report generally includes an opinion on which of the following sections of a
CAFR?
a. The financial section only.
