CPA Financial Accounting and Reporting (FAR) › Modified Accrual Basis of Accounting
The city of Carlton produces a comprehensive annual financial report which includes general purpose financial statements. Which of the following statements is true?
A government wide statement of net position must include which of the following?
In a governmental entity's government wide statement of net position, which of the following would not be included as a liability?
The city of Frankford assesses a sales tax on all purchases over $40,000. On December 28, Year 1, a sale of $65,000 occurs that will result in a payment of a tax to the city of $2,400. The payment is expected to be received during March of Year 2. Assets such as investments and receivables are viewed as current if they are collectible within 60 days. How should this tax revenue be reported in the Year 1 fund financial statements?
Capital assets donated to a governmental unit should be recorded:
Pattinson County is currently preparing general purpose financial statements for Year 1. Currently, they are working on fund-based financial statements for the general fund and special revenue fund. Which of the following will not be reported as assets on the balance sheet for these funds at December 31, Year 1?