Explore BrainMass
Share

Government financial statements

This content was STOLEN from BrainMass.com - View the original, and get the already-completed solution here!

Answer the following questions based on Scottsdale, AZ CAFR year ending June 30, 2012.
www.scottsdaleaz.gov/finance/cafr

A. Look at the Statement of Fiduciary Net Assets. Which fund types are included? Is the Statement prepared in a format in which Assets - Liabilities = Net Assets? Are net assets shown as being held in trust for employee benefits and other purposes? Look at the Statement of Changes in Fiduciary Net Assets. Has the government refrained from including agency funds in that statement? Are increases and decreases shown as additions and deductions, rather than revenues and expenses? What are the main additions? What are the main deductions?
B. Are agency funds included in the Statement of Fiduciary Net Assets? If so, look to the notes or combining schedules and list the individual agency funds. Has the government limited itself to agency funds that are held for individuals, organizations, or other governments—not for other government funds? Do agency funds report only assets and liabilities, not net assets? Does the government report a Statement or Schedule of Changes in Assets and Liabilities for agency funds?
C. Can you tell if any of those funds are endowments, and have resources permanently restricted? How much income was generated by each of the private-purpose funds, and how much was released for use? Does the government report escheat property as private-purpose funds? If so, indicate the nature of the process by which property is released and for what purposes.
D. Does the government report investment trust funds? If so, describe the nature of the external investment pool. Which other governments are included? Has your government refrained from including its own investments in the investment trust funds?
F. When the government creates internal investment pools for management purposes, does the government report the individual investments and income from those investments in the funds that provided the resources?

© BrainMass Inc. brainmass.com October 25, 2018, 9:03 am ad1c9bdddf
https://brainmass.com/business/the-role-of-government-and-regulation/government-financial-statements-562395

Solution Preview

You will find in attachment a Word document showing my answers in bold characters.

My answers are shown in bold characters.
A. Look at the Statement of Fiduciary Net Assets.
It is on page 47
Which fund types are included? Private Purpose Trust Funds and Agency Funds

Is the Statement prepared in a format in which Assets - Liabilities = Net Assets? Yes

Are net assets shown as being held in trust for employee benefits and other purposes? Yes; Held in Trust for Other Purposes

Look at the Statement of Changes in Fiduciary Net Assets. It is on page 48

Has the government refrained from including agency funds in that statement? Yes; only the Private Purpose Trust Funds is included

Are increases and decreases shown as additions and deductions, rather than revenues and expenses? Exact.

What are the main additions? Private Donations

What are the main deductions? Scholarships

B. Are agency funds included in ...

Solution Summary

The solution answers questions regarding private purpose trust funds and agency funds.

$2.19
See Also This Related BrainMass Solution

Journal Entries and GASB: Government vs For-Profit Journal Entries

To make sure you are up to date on the special guidelines the GASB has declared, your manager asked you to research GASB Statement No. 56. He also asked you to show him, side by side, how government accounting journal entries might differ from for-profit journal entries in these similar events.

* When was GASB Statement No. 56 initiated?
* In your own words, what is the essence of the new ruling?
* Why did the GASB probably deem it as being necessary?
* How might GASB Statement No. 56 change the activities of any accountant performing governmental accounting?

Create journal entries for all of the following situations.

1. On 10/1/2010, a for-profit Company A provides $100,000 of service to Company B. Company B plans to pay their bill 90 days later.
Create the journal entry when the service is provided.
Create the journal entry when the cash is received.

2. On 12/1/2010, the city's recreation department receives a government grant of $100,000 specifically to use for next year's park upgrades, which will begin on 1/1/2011.
Create the journal entry made when the cash is received.
Create the journal entry to be made on 1/1/2011.

3. A for-profit retail store buys $200,000 of inventory on 9/1/2010.
Create the proper journal entry to show purchase of this inventory.

4. A local city park buys $200,000 of food merchandise for later resale. It uses the purchase method to account for inventory.
Create the proper journal entry for when this purchase is made.

5. A nonprofit organization receives a $250,000 donation on 12/1/2011, but the donor specifically wants it spent in 2012.
Create the journal entry or entries to show the proper recording of revenue (this may require more than on journal entry).
Create the subsequent journal entry to show spending of the funds.

View Full Posting Details