1. (TCO F) Proprietary funds (Points : 5)are required to present budget-actual statements in the fund statements.

are not required to disclose contributions of capital assets on the Cash Flow Statement.

are required to present reconciliation between the Statement of Revenues, Expenses, and Changes in Fund Net Assets and the Cash Flow Statement.

are required to present a Statement of Revenues and Expenses and Balance Sheet.

Question 2. 2. (TCO F) Which of the following is false regarding proprietary fund accounting? (Points : 5)

The economic resources measurement focus and accrual accounting are used.

Capital assets are recorded in the accounts and depreciated.

The Statement of Net Assets must be in a classified format, with current assets separated from noncurrent assets and current liabilities separated from noncurrent liabilities.

In the Statement of Net Assets, the net assets are reported as either reserved or unreserved.

Question 3. 3. (TCO G) Which of the following is not an example of the function of an Agency Fund? (Points : 5)

A periodic distribution by state governments of county gasoline taxes.

Collection of property taxes for the school district that is collected by an elected county official.

Payment of interest and principal on long-term debts.

Collection of local government sales taxes by the state governments.

Question 4. 4. (TCO H) Which of the following organizations promulgates the Government Auditing Standards? (Points : 5)

The U.S. Office of Management and Budget

The Securities and Exchange Commission

The American Institute of Certified Public Accountants

The U.S. Government Accountability Office

Question 5. 5. (TCO J) Which of the following kinds of information would not be provided by managements discussion and analysis (MD&A)? (Points : 5)

A description of the governments financial condition.

A discussion of economic factors and the budget and tax rates approved for the next year.

A forecast of revenues and expenditures for the next three fiscal years.

A narrative explanation of the contents of the CAFR.

Question 6. 6. (TCO H) Which of the following would be considered contribution revenue or support of a not-for-profit organization? (Points : 5)

Monies received from a fund-raising campaign.

Investment earnings.

Money received from rental of surplus office space.

Gain on disposal of capital assets.