V-246 final

An example of an Enterprise fund could be?

Water and sewer fund

A ______ budget is used to control Internal Service Funds

flexible

Internal Service funds are used to account for resources used to supply goods and services, based on cost reimbursement, ______ a governmental unit.

within

What funds use the modified accrual accounting?

all governmental-type funds

Estimated bad debts are charged to an ______ account in an Enterprise Fund.

expense

Enterprise funds are used to account for resources used to supply goods and services, for a fee, to users ______ to the gov'tmental unit.

external

The second net asset in non-profit accounting is the?

temporarily restricted net asset

What do Debt Service funds account for?

the accumulation of resources for paying principal and interest on general long-term debt.

Enterprise Funds are used to account for activities that provide service or products to ________.

the general public

Capital contributed to an Internal Service Fund is credited to a _______ and that account is closed to the net assets account.

transfer-in account

The first net asset in non-profit accounting is the?

unrestricted net asset

In preparing the General Fund budget of B city for the forthcoming fiscal year, the council appropriated a sum greater than expected revenues. What will be the result of the action?

A debit to Budgetary Fund balance

What entry must be made at the beginning of the new period when encumbrance accounting is used for a construction project that continues beyond the end of an accounting period?

A debit to Encumbrances

Internal Service funds use what method of accounting?

Accrual

The accounting equation is ______ = Liabilities + Shareholder Equity.

Assets

What journal entry is made in the Capital Projects Fund when a contract is signed and encumbrance accounting is used?

Debit- Encumbrances, Credit- BFB reserved for encumbrances

Several years ago a city established a sinking fund to retire an issue of general obligation bonds. This year the city made a 50K contribution to the sinking fund from general revenues and realized 15K in revenue from securities in the sinking fund. The bonds due this year were retired. These transactions require accounting recognition in which of the following funds?

Debt Service fund and general fund

To provide for the retirement of general obligation bonds, a city invests a portion of its general revenue receipts in marketable securities. This investment activity should be accounted for in which fund?

Debt service fund

________ is recorded in an Internal Service Fund that uses fixed assets.

Depreciation

What is done with resources that remain in a Capital Projects Fund after the project is complete?

Disbursed according to the directives of the resource provider

An example of a Special Revenue Fund could be?

Emergency 911 telephone fund

Depreciation is recorded in an _______ fund.

Enterprise

Restricted assets are separately reported on an ____________.

Enterprise Fund Balance sheet

User charges must be assessed if an ________ fund is used for accounting ______.

Enterprise, purposes

Governmental type funds, Proprietary Funds, and ______ Funds.

Fiduciary

An example of a Debt Service fund could be?

General obligation bonds fund

A direct cause and effect relationship exists between the revenues and expenses of an __________ fund.

Internal Service

What are the two proprietary funds?

Internal Service, Enterprise

Why is encumbrance accounting usually used in Capital Projects Funds?

It helps the government control expenditures

Are Enterprise Funds used to account for the construction of major highways financed from tax revenues?

No

The principal amount of bonds issued to finance the cost of a new city hall would be recorded as a liability in which of the following funds?

None, it is not recorded in fund-level records

The City of New Easton constructed a convention center. After completion of the project, the convention center should be recorded as an asset in which of the following funds?

None, its not recorded in fund level records

What Other entities use the accrual basis of accounting?

Not-for-profits

The issuance of bonds to provide resources to construct a new courthouse should be recorded in a Capital Projects Fund by crediting what accounts?

Other financing sources- long-term debt issue

Which fund is used to account for the operations of a public library receiving the majority of its support from property taxes levied for that purpose?

Special Revenue Fund

A special tax was levied by DT city to retire and pay interest on general obligation bonds that were issued to finance the construction of a new city hall. Where are the receipts from the tax recorded?

The debt service fund

To what does the term current financial resources measurement focus refer?

The measurement of resources available for spending

Can Internal Service Funds have restricted net asset accounts?

Yes

What is the definition of a Capital Projects fund?

accounts for financial resources to be used for the acquisition or construction of capital facilities.

Under accrual accounting, revenues are recognized when they ______.

are earned

Fixed assets used in an Internal Service Fund are reported as ______ of that fund.

assets

Modified accrual accounting recognizes revenues when they become ______ and measurable.

available

Governmental funds include Special Revenue funds, Capital Projects funds, and _____ service funds.

debt

Internal Service Funds use the ______ basis of accounting.

full accrual

What is the accounting log book that contains a complete listing of a company's recordable transactions documented in chronological order?

general journal

What is the accounting log book that is a complete record of financial transactions over the life of a company?

general ledger

In NGO's, when are pledges recorded?

if and when the pledges are unconditional promises to give.

Under accrual accounting, expenses are recognized when assets are consumed or _______ _____.

liabilities incurred

What principle requires a company to match expenses with related revenues in order to report a company's profitability during a specified time interval?

matching

A change in ______ is calculated for Internal Service Funds.

net assets

The final net asset in non-profit accounting is the?

permanently restricted net asset

The resources used to finance Capital Projects funds may come from what sources?

private donations, general obligation debt, intergovernmental revenues

What funds are recorded like business entities?

proprietary

Internal Service Funds are used to account for activities that provide _______ or products to a unit within the government.

services