Question

Which of the following funds should be used if resources provided by a federal grant must be segregated and used for counseling of youthful offenders?

A) Private-purpose trust fund.

B) Enterprise fund.

C) Internal service fund.

D) Special revenue fund.

2) Which of the following funds would record depreciation of capital assets?

A) Special revenue fund.

B) Permanent fund.

C) Internal service fund.

D) Custodial fund.

3) Under GASB standards which of the following funds can report a positive amount for unassigned fund balance?

A) Capital projects fund.

B) Special revenue fund.

C) General Fund.

D) All of the options.

4) Which of the following statements is not a true statement about expenses that are directly related to a government function or program?

A) They are reported in the government-wide statement of activities at the government-wide level.

B) They include expenses that are specifically associated with a function or program.

C) They include interest on general long-term liabilities.

D) They include depreciation expense on capital assets that are clearly identified with a function or program.

5) Which of the following is not a category of program revenue reported on the statement of activities at the government-wide level?

A) General program revenues.

B) Charges for services.

C) Operating grants and contributions.

D) Capital grants and contributions.

6) Which of the following items would not appear in a statement of revenues, expenditures, and changes in fund balances prepared for a governmental fund?

A) Depreciation expense.

B) Interfund transfers in.

C) Revenues from property taxes.

D) Expenditures for employee salaries.

7) Which of the following would not appear on a governmental fund balance sheet?

A) Accounts receivable.

B) Inventory of supplies

C) Vouchers payable.

D) Bonds payable.

8) According to GASB standards, which of the following is not classified as a budgetary account?

A) Encumbrances.

B) Encumbrances Outstanding.

C) Estimated Revenues.

D) Appropriations.

9) When the budget for the General Fund is recorded, the required journal entry will always include:

A) A credit to Estimated Revenues.

B) A debit to Encumbrances.

C) A credit to Appropriations.

D) A credit to Budgetary Fund Balance.

10) The Estimated Revenues control account of a government is credited when:

	Budgetary accounts are closed	Revenues are recorded
A)	Yes	No
B)	No	No
C)	No	Yes
D)	Yes	Yes

A) Choice A.

B) Choice B.

C) Choice C.

D) Choice D.

Answer 1

1. Which of the following funds should be used if resources provided by a federal grant must be segregated and used for counseling of youthful offenders?

Answer: C) Internal service fund.

2) Which of the following funds would record depreciation of capital assets?

Answer: B) Permanent fund.

3) Under GASB standards which of the following funds can report a positive amount for unassigned fund balance? Answer: A) Capital projects fund. B) Special revenue fund. C) General Fund. D) All of the options.

4) Which of the following statements is not a true statement about expenses that are directly related to a government function or program?

Answer:  D) They include depreciation expense on capital assets that are clearly identified with a function or program.

5) Which of the following is not a category of program revenue reported on the statement of activities at the government-wide level?

Answer: D) Capital grants and contributions.

6) Which of the following items would not appear in a statement of revenues, expenditures, and changes in fund balances prepared for a governmental fund?

Answer: B) Interfund transfers in.

7) Which of the following would not appear on a governmental fund balance sheet?

Answer: B) Inventory of supplies

8) According to GASB standards, which of the following is not classified as a budgetary account?

Answer: D) Appropriations.

9) When the budget for the General Fund is recorded, the required journal entry will always include:

Answer: A) A credit to Estimated Revenues.

10) The Estimated Revenues control account of a government is credited when: Budgetary accounts are closed Revenues are recorded

A) Yes No

B) No No

C) No Yes

D) Yes Yes

Answer: Choice D.