Question : 63.              When would a special revenue fund be deemed to : 1255443

 

63.              When would a special revenue fund be deemed to have satisfied the eligibility requirement of a reimbursement-type federal grant, under GASB Statement 33?

A)Only as qualified expenditures are completed.

B)When a plan for use of the funds has been developed and approved.

C)Only after work is completely finished for the project.

D)When the grant is first approved by the granting agency.

64.              The entry to re-establish encumbrances related to purchase orders from the prior year would include:

A)A debit to Budgetary Fund Balance – Reserved for Encumbrances.

B)A debit to Encumbrances Control.

C)A credit to Accounts Payable

D)None of the above.

65.              The Town of Little River expects to collect $90,000 in sales tax from the state government within 30 days of the end of fiscal year 2014 for retail sales taking place in fiscal year 2014.  What entry, if any, would Little River make at the end of 2014?

A)Taxes receivable – current90,000

Revenues control90,000

B)Taxes receivable – deferred90,000

Revenues control90,000

C)Taxes receivable – current90,000

Due from state government90,000

D)Due from state government90,000

Revenues control90,000

66.              Which of the following is not likely to be recorded in a special revenue fund?

A)Phone fees restricted to supporting the emergency 911 access system.

B)Hotel taxes restricted to promoting tourism.

C)Sales taxes restricted to courthouse additions.

D)State motor fuel tax restricted to road maintenance.

67.              Indicate which of the following use Modified Accrual Accounting?

 

 

 

 

Capital Projects Fund

Government-

wide

Financial

Statements

 

 

Special Revenue Fund

 

Internal

Service

Fund

A)

Yes

No

Yes

No

B)

No

Yes

No

Yes

C)

Yes

No

Yes

Yes

D)

Yes

Yes

No

No

 

68.Short-term loans which are backed by the taxing power of the governmental unit and used to meet working capital requirements are called:

A)  Tax anticipation notes.

B)  Inter-fund loans.

C)  Other financing sources.

D)  Appropriation loan.

69.              A local government was awarded a federal grant in the amount of $1,200,000 to provide for a summer employment program for young people.  The grant was a reimbursement grant and was awarded on April 30, 2014.  The local government expended the resources as follows: June, 2014, $440,000; July 2014, $400,000; August, 2014, $360,000.  The federal government provided the funds the following months.  The local government would recognize revenues for the fiscal year ended June 30, 2014 in which amount?

A)$1,200,000

B)$   840,000

C)$   440,000

D)$         -0-

70.              A donor pledged $200,000 to the fund raising drive of a local government to assist its police officers in obtaining the latest technology.  The pledge was made on July 16, 2013 but was conditioned on the government raising an additional $200,000 from other donors.  By the fiscal year-end of June 30, 2014, the local government had raised only $5,000 from other donors.  What entry would be made for the initial pledge by the local government during the year ended June 30, 2014?

A)No entry is required until the condition is fully met.

B)Debit a receivable and credit deferred revenues, a liability.

C)Debit a receivable and credit Fund Balance.

D)Debit a receivable and credit revenue

71.              The General Fund of the City of Lexington approved a tax levy for the calendar year 2014 in the amount of $2,000,000.  Of that amount, $30,000 is expected to be uncollectible.  During 2014, $1,750,000 was collected.  During 2015, $100,000 was collected during the first 30 days, $70,000 was collected during days 31-60, and $50,000 was collected during the days 61-90.  During the postaudit, you discovered that the City showed $2,000,000 in revenues.  How much revenue should the City recognize in 2014 from this tax levy?

A)$ 2,000,000

B)$ 1,970,000

C)$ 1,920,000

D)$ 1,750,000

72.              The City of Brownsville had a balance in the Budgetary Fund Balance — Reserve for Encumbrances account at the end of 2013 in the amount of $90,000.  During 2014, all purchase orders related to the $90,000 were filled, and the invoice amount was $91,200.  Which of the following would be true regarding the Statement of Revenues, Expenditures, and Changes in Fund Balances for 2014?  (assume encumbrances do not lapse)

A)The amount shown for Expenditures would include only the $1,200.

B)The amount shown for Expenditures would include only the $90,000.

C)The amount shown for Expenditures would include the $91,200.

D)The amount shown for Expenditures would not include items related to orders placed in 2013.