Assessing Cost Drivers
Not what you're looking for?
Discuss the implications of GASBS 34 and government-wide financial reporting on the budgeting process in a city.
Note: Please cite the sources
Purchase this Solution
Solution Summary
This Solution contains over 1000 words to aid you in understanding the Solution to this question.
Solution Preview
Cost drivers
Discuss the implications of GASBS 34 and government-wide financial reporting on the budgeting process in a city.
Note: Please cite the sources
In June 1999, the Governmental Accounting Standards Board (GASB) issued Statement 34, Basic Financial Statements-and Management's Discussion and Analysis and Analysis-For State and Local Governments. This new standard will significantly change the way school districts and county offices of education report their finances to the public. Shifting the focus of financial reporting from the status of individual funds to the overall status of the local educational agency's (LEA's) financial health, the new standard requires that more and easier to understand financial information be presented to the public.
The requirements of GASB Statement 34 are phased in based on the LEA's total annual revenues. The following table displays the three phases.
Phase Total Annual Revenues Effective Beginning With
1 $100 million or more Fiscal year 2001-02
2 At least $10 million but less than $100 million Fiscal year 2002-03
3 Less than $10 million Fiscal year 2003-04
Overview of GASB Statement 34
The new financial reporting model under GASB Statement 34 requires the following additional information for the annual financial reports of school districts and county offices of education to be presented in conformity with generally accepted accounting principles (GAAP):
? Management's Discussion and Analysis
? Basic Financial Statements
? Required Supplementary Information
Financial managers of LEA's should include sufficient information in the analysis for users of the financial statements to evaluate whether the financial position of the LEA has improved or deteriorated as a result of the year's ...
Purchase this Solution
Free BrainMass Quizzes
Marketing Research and Forecasting
The following quiz will assess your ability to identify steps in the marketing research process. Understanding this information will provide fundamental knowledge related to marketing research.
Understanding Management
This quiz will help you understand the dimensions of employee diversity as well as how to manage a culturally diverse workforce.
Production and cost theory
Understanding production and cost phenomena will permit firms to make wise decisions concerning output volume.
Managing the Older Worker
This quiz will let you know some of the basics of dealing with older workers. This is increasingly important for managers and human resource workers as many countries are facing an increase in older people in the workforce
Understanding the Accounting Equation
These 10 questions help a new student of accounting to understand the basic premise of accounting and how it is applied to the business world.