ACC 4030 - Exam #1 questions well
answered graded A+ updated
Which of the following would not be considered a government or nonprofit organization? -
correct answer ✔✔A software company that sells software exclusively to state and local
governments.
Which of the following characteristics best distinguishes a government entity from a business
entity? - correct answer ✔✔Those contributing resources to the entity do not necessarily
receive a direct or proportionate share the services.
Which source of financial resources is unique to governments? - correct answer ✔✔Taxation
Which of the following is not a primary financial reporting objective of state and local
government (SLG) reporting? - correct answer ✔✔Provide information necessary for investment
and credit decisions.
Expenditures in a governmental (expendable) fund would not include - correct answer
✔✔Depreciation
The primary users of external financial reports, as identified by the GASB, include all of the
following except - correct answer ✔✔Other governments.
What best describes the relationship of the FASB and the GASB? - correct answer ✔✔They are
co-equal bodies with different areas of responsibility for standards setting.
, Which of the following is not a characteristic used to determine if an organization is a
government? - correct answer ✔✔An entity receives over half of its resources from other
governmental entities.
The governmental GAAP hierarchy was established by - correct answer ✔✔The Governmental
Accounting Standards Board (GASB).
Which of the following activities would most likely be accounted for as a business-type activity?
- correct answer ✔✔Water operations.
You can donate to the Pamela Atkinson Trust Fund on tax form? - correct answer ✔✔True
Which of the following is not a fund category used by state and local governments? - correct
answer ✔✔Plant and Equipment funds.
Which of the following is considered a proprietary fund? - correct answer ✔✔Internal Service
Fund.
The operations of a city bus line receiving all its funding from user charges would be accounted
for in - correct answer ✔✔An Enterprise Fund
Which of the following is the basic proprietary fund accounting equation? - correct answer
✔✔Assets + Deferred Outflows - Liabilities - Deferred Inflows = Net Position.
Which of the following is the basic governmental fund accounting equation? - correct answer
✔✔Financial Assets + Deferred Outflows - Related Liabilities - Deferred Inflows = Fund Balance.
Which of the following would not be classified as an expenditure? - correct answer
✔✔Depreciation
answered graded A+ updated
Which of the following would not be considered a government or nonprofit organization? -
correct answer ✔✔A software company that sells software exclusively to state and local
governments.
Which of the following characteristics best distinguishes a government entity from a business
entity? - correct answer ✔✔Those contributing resources to the entity do not necessarily
receive a direct or proportionate share the services.
Which source of financial resources is unique to governments? - correct answer ✔✔Taxation
Which of the following is not a primary financial reporting objective of state and local
government (SLG) reporting? - correct answer ✔✔Provide information necessary for investment
and credit decisions.
Expenditures in a governmental (expendable) fund would not include - correct answer
✔✔Depreciation
The primary users of external financial reports, as identified by the GASB, include all of the
following except - correct answer ✔✔Other governments.
What best describes the relationship of the FASB and the GASB? - correct answer ✔✔They are
co-equal bodies with different areas of responsibility for standards setting.
, Which of the following is not a characteristic used to determine if an organization is a
government? - correct answer ✔✔An entity receives over half of its resources from other
governmental entities.
The governmental GAAP hierarchy was established by - correct answer ✔✔The Governmental
Accounting Standards Board (GASB).
Which of the following activities would most likely be accounted for as a business-type activity?
- correct answer ✔✔Water operations.
You can donate to the Pamela Atkinson Trust Fund on tax form? - correct answer ✔✔True
Which of the following is not a fund category used by state and local governments? - correct
answer ✔✔Plant and Equipment funds.
Which of the following is considered a proprietary fund? - correct answer ✔✔Internal Service
Fund.
The operations of a city bus line receiving all its funding from user charges would be accounted
for in - correct answer ✔✔An Enterprise Fund
Which of the following is the basic proprietary fund accounting equation? - correct answer
✔✔Assets + Deferred Outflows - Liabilities - Deferred Inflows = Net Position.
Which of the following is the basic governmental fund accounting equation? - correct answer
✔✔Financial Assets + Deferred Outflows - Related Liabilities - Deferred Inflows = Fund Balance.
Which of the following would not be classified as an expenditure? - correct answer
✔✔Depreciation
