Question

The required report or statements in the general purpose federal financial report that addresses forward-looking information regarding the possible effects of currently known demands, risks, and uncertainties, and trends in the federal entity is (are):

Question 7 options:

	Management discussion and analysis.
	Basic statements.
	Required supplemental information.
	Related notes to the financial statements.

The statement of activities required by SFAS No. 117 for health care entities subject to its jurisdiction must display changes for the period in which of the following categories of net assets?

Question 10 options:

	Unrestricted
	Temporarily restricted
	Permanently restricted
	All of the above

Are public and private colleges and universities required to report depreciation expense in their financial statements?

Question 25 options:

	Public: No; Private: No
	Public: No; Private: Yes
	Public: Yes; Private: Yes
	Public: Yes; Private: No

An audit of a government, conducted in accordance with generally accepted auditing standards (GAAS), includes

Question 24 options:

	Tests for compliance with laws and regulations
	A determination of efficiency and effectiveness
	An examination of financial statements and underlying records for conformance with generally accepted accounting principles (GAAP)
	Both b and c

All of the following are examples of acts or policies that are uniform across the United Stated for not-for-profit organizations except:

Question 14 options:

	Volunteer Protection Act of 1997.
	Model Charitable Solicitation Act.
	Uniform Prudent Management of Investment Funds Act of 2006.
	Uniform Executive Compensation Act.

Answer 1

1. As per Federal financial accounting concepts, The financial statements prepared in accordance with generally accepted accounting principles along with required supplemental information provides future effects of existing demands, uncertainities, risks, events conditions and trends.

Hence in the Above options given, all the options consolidately provide for the future effects of existing conditions, demands. Required supplementary Information includes management analysis and discussions. Hence, all the options can be choosen as answer.

2. As per SFAS 117, health care entities are required to display all the changes for the period in the statement of activites under their respective heads, either it may be Unrestricted or temporarily restricted or permanently restricted. Hence Option 4 all of the above can be choosen as an answer.

3. AS per Statement no. 93 of FASB both Public and private universities are required to disclose their depreciaiton in their financial statements, but GASB issued statement no. 8 which exempted public colleges and universities from displaying deprectiation in their financial statements. Hence Option 2 can be choosen as an answer.

4. An audit of government conducted in accordance with GAAS includes examination of financial statements in accordance with GAAP. A performance auditor is not normally expected to determine the efficiency and effectiveness and on the other hand compliance with laws and regulations will be seen in compliance audit.

Hence, for the above question, Option C can be choosen as an answer.