ACCY 407 Exam 1, Top Questions and answers, 100% Accurate. Graded A+

ACCY 407 Exam 1, Top Questions and answers, 100% Accurate. Graded A+ a broad array - -a broad arraygeneral purpose governments provide _____ services city of oxford, federal government, state government, cities, towns, counties - -what are some examples of general purpose governments interdependent school system, public colleges & universities, fire protection districts - -what are some examples of special purpose governments legally separate - -not-for-profit organizations are _____ organizations True - -T/F NFP organizations are usually exempt from federal, state, and local taxation religious, community service, private educational & health care, museums - -what are some examples of NFP organizations SFAC 4 - -characteristics distinguishing state & local governments & non-profits from business organizations is found in... -receipts of significant amounts of resources from resource providers who do not expect to receive repayment or economic benefits proportionate to the resources provided -operating purposes other than to provide goods/services at profit/profit equivalent -absence of defined ownership interests - -characteristics that distinguish state and local and non-profits from business organizations False ; employees are not assets because the company does not own or control them - -T/F employees are assets the people ; people delegate power to public officials through election process - -governmental entities power ultimately rests in the hands of _____ higher level government - -governmental entities are empowered by and accountable to _____ taxation powers ; right to tax - -governmental entities have _____ powers FASB (Financial Accounting Standards Board) - -_____ provide GAAP & financial reporting standards to business organizations & non-governmental not-for-profits 1- general purpose (nongovernmental NFP) 2- special purpose (governmental NFP) - -what are the two types of governments GASB (Governmental Accounting Standards Board) - -_____ provide GAAP & financial reporting standards to state & local governmental organizations & governmental not-for-profits FASAB (Federal Accounting Standards Advisory Board) - -_____ provide GAAP & financial reporting standards to federal government, its agencies & departments 1- should provide useful information for making investment & credit decisions 2- should provide information to assess the amounts, timing, & uncertainty of firm's future cash flows (income statement) 3- should provide information about firm's resources & changes in resources (balance sheet) - -Objectives of financial reporting business organizations (SFAC 1, superseded by 8) accountability - -"_____ is the cornerstone of all financial reporting in government" (GASB concepts statement No. 1, par. 56) accountability - --arises from citizen's "right to know" -imposes duty on public officials to be accountable to citizens for raising public monies & how they are spent interperiod equity - -_____ is a government's obligation to disclose whether current-year revenues were sufficient to pay for current-year benefits 1- government-wide 2- fund - -what are the 2 categories of basic governmental financial statements 1- management's discussion & analysis (MD&A) 2- government-wide & fund financial statements 3- notes to financial statements 4- required supplementary information (other than MD&A) - -what are the minimum requirements for general purpose EXTERNAL