Question

Under GASB standards, agency funds are excluded from the face of the government-wide financial statements. What are agency funds? Do you believe they should be presented in the government-wide statements? Could they--or should they--be presented elsewhere?

Answer 1

Answer :-

• According to Accounting standard board (GASB) Agency subsidize (FT09) conveyance of benefits as n specialist by the state to different passages these are called trustee reserves .
• where in the legislature does not include in estimating activities but rather just sees how to represent resources and liabilities.
• Office assets with operators just acts like custodial in nature as the advantages held for other can't be utilized for their very own needs.
• Agency finances required to utilize just changes in resources and liabilities as opposed to the announcement of changes in guardian net position as organization reserves does not perceive revenues,expenditure costs .
• They are acting simply like custodians(holders).
• According to GASB 34 avoids the announcing of trustee exercises on the expansive budget reports.
• As they are trustee in nature they can't be displayed in all inclusive money related statements.
• The pending circulation to different assets ought not be accounted for in office funds.
• But the ones which are cleared those affirms ought to be accounted for in an administrative or exclusive assets.