Fund balance in a governmental funds balance sheet
What is a committed fund balance in a governmental funds balance sheet? How does it differ from a restricted fund balance?
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Governments are not required to accrue interest on long-term debt in governmental funds, even if the interest is applicable to a current period and will be due the first day of the following year. Explain and justify the standards that permits thi
A government accounts for inventory on the purchase basis. Why must it offset the year-end inventory balance with an entry to non-spendable fund balance?
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Do you believe that Jack Atchison's close relationship with Lincoln and Charles Keating prior to his leaving Arthur Young was proper? Why or why not? After Joining Lincoln's parent company ACC, should Atchison have "interfaced" with Arthur Young's
A private citizen makes an unrestricted pledge of $5 million to a city's museum. The city is confident that the donor will fulfill her pledge. However, the cash will not be received for at least two years. How will the amount of revenue reported i
A government permits its employees to accumulate all unused vacation days and sick leave. Whereas (in accord with current standards) it may have to "book" a liability for the unused vacation days, it may not have to record an obligation for the un
Assume that both the Board Division and the Consumer Products Division have idle capacity. Under these conditions, would rejecting the $400 price be advantageous for the company as a whole, or would it result in the loss of potential profits.
Consider the complexities of forecasting cash flow. Take the perspective of either a small business owner or a finance manager at a large corporation. Identify at least three variables that can affect cash flow. For each variable you identify, exp
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