E 19-3 Multiple choiceWhich of the following is considered an exchange transaction under GASB 33?A city receives a federal grantA bus driver collects bus fare from a riderProperty taxes are collected from a homeownerAn employer withholds state income tax from employee paychecksOne would not expect to find fixed asset accounts in theGovernmental fund financial statementsProprietary fund financial statementsGovernment-wide financial statementsFinancial statements of a governmental entityThe cash received from the sale of vehicles used by the sheriff’s office should be recorded inThe general fundThe general fixed assets account groupA capital projects fundA debt service fundWhich fund follows the modified accrual basis of accounting?General fundSpecial revenue fundDebt service fundAll of the aboveThe simplified governmental fund accounting model is as follows:Assets = Liabilities + Fund BalanceAssets = Liabilities + Fund BalanceCurrent Assets − Current Liabilities = Fund BalanceCurrent Assets − Current Liabilities = Fund BalanceCurrent Assets + Noncurrent Assets − Current Liabilities − Noncurrent Liabilities = Fund BalanceCurrent Assets + Noncurrent Assets − Current Liabilities − Noncurrent Liabilities = Fund BalanceCurrent Assets + Noncurrent Assets−Current Liabilities − Noncurrent Liabilities = Net Position

Question
Asked Sep 14, 2019
48 views

E 19-3 Multiple choice

  1. Which of the following is considered an exchange transaction under GASB 33?

    1. A city receives a federal grant

    2. A bus driver collects bus fare from a rider

    3. Property taxes are collected from a homeowner

    4. An employer withholds state income tax from employee paychecks

  2. One would not expect to find fixed asset accounts in the

    1. Governmental fund financial statements

    2. Proprietary fund financial statements

    3. Government-wide financial statements

    4. Financial statements of a governmental entity

  3. The cash received from the sale of vehicles used by the sheriff’s office should be recorded in

    1. The general fund

    2. The general fixed assets account group

    3. A capital projects fund

    4. A debt service fund

  4. Which fund follows the modified accrual basis of accounting?

    1. General fund

    2. Special revenue fund

    3. Debt service fund

    4. All of the above

  5. The simplified governmental fund accounting model is as follows:

    1. Assets = Liabilities + Fund BalanceAssets = Liabilities + Fund Balance

    2. Current Assets − Current Liabilities = Fund BalanceCurrent Assets − Current Liabilities = Fund Balance

    3. Current Assets + Noncurrent Assets − Current Liabilities − Noncurrent Liabilities = Fund BalanceCurrent Assets + Noncurrent Assets − Current Liabilities − Noncurrent Liabilities = Fund Balance

    4. Current Assets + Noncurrent Assets−Current Liabilities − Noncurrent Liabilities = Net Position

check_circle

Expert Answer

Step 1

Hi, since you have posted a question with multiple sub-parts, we will solve first three subparts for you  (solved below).

To get remaining sub-part solved please repost the complete question and mention the sub-parts to be solved. Thankyou

 

1.)

Which of the following is considered an exchange transaction under GASB 33?- Ans is

A bus driver collects bus fare from a rider

This case is of an exchange transaction as here there is a direct link between the money paid and service received in return. An exchange or exchange-like transaction is one in which each party receives and sacrifices something of approximate equal value, here the rider is paying money & the bus driver is providing him service of transportation in return.

Step 2

2.)

One would not expect to find fixed asset accounts in the- Ans is

Governmental fund financial statements

As governmental funds focus on current financial resources, the ones that can be converted into cash & the liabilities can be paid off using i...

Want to see the full answer?

See Solution

Check out a sample Q&A here.

Want to see this answer and more?

Solutions are written by subject experts who are available 24/7. Questions are typically answered within 1 hour.*

See Solution
*Response times may vary by subject and question.
Tagged in

Business

Accounting

Related Accounting Q&A

Find answers to questions asked by student like you

Show more Q&A add
question_answer

Q: On October 1, the company lent $50,000 to a customer. The customer signed a note that required princ...

A: Calculate the interest income during the year:

question_answer

Q: Sunland Company has issued 1,900 shares of common stock and 380 shares of preferred stock for a lump...

A: The stock in which shareholder’s are entitled to received dividend whose amount may vary from time t...

question_answer

Q: P9-1

A: Income Statement

question_answer

Q: Scott Manufacturing makes only one product with total unit manufacturing costs of $54, of which $40 ...

A: a) Prepare gross profit computations for 2019 and 2020 using absortion costing: 

question_answer

Q: How do you calculate the common stock value on a balance sheet?

A: Common stock represents the amount contributed by the common stock holders or the contributors of th...

question_answer

Q: 48. PR.03-19 Problem 3-19 Bad Debts (LO 3.10) Sharon is an orthopedic surgeon. She performed a surge...

A: A bad debt represents that amount of debt which cannot be recovered.  In accounting, bad debt can be...

question_answer

Q: The credit manager of Montour Fuel has gathered the following information about the company’s accoun...

A: Uncollectible accounts: Uncollectible accounts refer to that part of receivables which become uncoll...

question_answer

Q: Referring to the question E2-26A in the textbook named Managerial Accounting by Pearson- 5th edition...

A: Expenses: Expenses are costs incurred for the operations of a business. The costs incurred for gener...

question_answer

Q: Prepare a corrected trial balance for Wildhorse Co.. All accounts should have a normal balance. ...

A: Prepare the corrected trial balance for Wildhorse Co.