WGU D250-GOVERNMENTAL AND
NONPROFIT ACCOUNTING ACTUAL
QUESTIONS AND CORRECT ANSWERS
What are the two Government-Wide Financial Statements (GWFS) - CORRECT
ANSWERS✅✅1. Government-Wide Statement of Net Position.
2. Government-Wide Statement of Activites
What balance does Defferred Outflows have? - CORRECT ANSWERS✅✅Debit Balance
What balance does Defferred Inflows have? - CORRECT ANSWERS✅✅Credit Balance
What accrual method do Government-Wide financial statements use? - CORRECT
ANSWERS✅✅Full Accrual
What are the first two columns in the Government-Wide Fianancial Statement of Net Position
(GWSNP)? - CORRECT ANSWERS✅✅Government Activities
Business-Type Activities
What accrual method do government funds use? - CORRECT ANSWERS✅✅Modified
Accrual
How is the business-type activities column calculated? - CORRECT
ANSWERS✅✅Combining all the enterprise funds
What type of funds are not included in Government-Wide Financial Statements? -
CORRECT ANSWERS✅✅Fiduciary funds - these funds report assets held for the benefit of
others rather than the primary government. (Pensions, etc)
What are component units? - CORRECT ANSWERS✅✅Other entities for which elected
officials are financially accountable and organizations whose exclusion would cause a
government's financial statements to be misleading
How are components determined? - CORRECT ANSWERS✅✅Reporting government
provides significant funding/resources, creates/approves the budget, appoints a majority of
the members of the governing body and, guarantees certain debt
of the potential component unit
Equity on Government wide statement of net position = - CORRECT ANSWERS✅✅Net
Position
What are the three categories net position must be classified into? - CORRECT
ANSWERS✅✅1. Net investment in capital assets
2. Restricted
NONPROFIT ACCOUNTING ACTUAL
QUESTIONS AND CORRECT ANSWERS
What are the two Government-Wide Financial Statements (GWFS) - CORRECT
ANSWERS✅✅1. Government-Wide Statement of Net Position.
2. Government-Wide Statement of Activites
What balance does Defferred Outflows have? - CORRECT ANSWERS✅✅Debit Balance
What balance does Defferred Inflows have? - CORRECT ANSWERS✅✅Credit Balance
What accrual method do Government-Wide financial statements use? - CORRECT
ANSWERS✅✅Full Accrual
What are the first two columns in the Government-Wide Fianancial Statement of Net Position
(GWSNP)? - CORRECT ANSWERS✅✅Government Activities
Business-Type Activities
What accrual method do government funds use? - CORRECT ANSWERS✅✅Modified
Accrual
How is the business-type activities column calculated? - CORRECT
ANSWERS✅✅Combining all the enterprise funds
What type of funds are not included in Government-Wide Financial Statements? -
CORRECT ANSWERS✅✅Fiduciary funds - these funds report assets held for the benefit of
others rather than the primary government. (Pensions, etc)
What are component units? - CORRECT ANSWERS✅✅Other entities for which elected
officials are financially accountable and organizations whose exclusion would cause a
government's financial statements to be misleading
How are components determined? - CORRECT ANSWERS✅✅Reporting government
provides significant funding/resources, creates/approves the budget, appoints a majority of
the members of the governing body and, guarantees certain debt
of the potential component unit
Equity on Government wide statement of net position = - CORRECT ANSWERS✅✅Net
Position
What are the three categories net position must be classified into? - CORRECT
ANSWERS✅✅1. Net investment in capital assets
2. Restricted
