ACG UCF EXAM 2024 VERIFIED

General purpose governments generally provide a wider range of services to their residents than do special purpose governments. - ANSWER T Examples of special purpose governments include cities, towns, and public schools that receive tax revenue to finance the services they provide. - ANSWER F The Governmental Accounting Standards Board (GASB) is the body authorized to establish accounting principles for all state and local governments, both general purpose and special purpose. - ANSWER T A characteristic common to governmental and not-for-profit organizations is operating purposes that are other than to provide goods or services at a profit or profit equivalent. - ANSWER T The needs of users of governmental financial reports are the same as those of users of business financial reports. - ANSWER F The Federal Accounting Standards Advisory Board (FASAB) recommends accounting principles and standards for the federal government and its agencies and departments. - ANSWER T The FASB, GASB, and FASAB all focus their standards on both internal and external financial reporting. - ANSWER F Interperiod equity refers to the concept that current-year revenues are sufficient to pay for services provided that year, so that future taxpayers will not be required to assume the burden for services previously provided. - ANSWER T The minimum requirements for general purpose external financial reporting are (1) management's discussion and analysis (MD&A), (2) the basic financial statements, including the notes to the financial statements, and (3) combining and individual fund financial statements. - ANSWER F The Financial Accounting Foundation has oversight over both FASB and GASB. - ANSWER T The basis of accounting under which revenues are recognized when measurable and available for spending and expenses when resources are consumed is the modified accrual basis of accounting. - ANSWER F In addition to financial statements and notes, GASB requires governments to provide information on service efforts and accomplishments (SEA) in