Question : 60.GASB Statement 34 requires enterprise funds to be used under : 1255482

60.GASB Statement 34 requires enterprise funds to be used under which of the following circumstances?

A)When the legal requirement exists that the cost of providing services for an activity, including capital costs, be recovered through fees or charges.

B)When debt is backed by the full faith and credit of the government issuing it.

C)When a government is restricted by grant covenants to cover the cost of providing services for an activity.

D)All of the above.

61.According to GASB Statement 34, restricted net assets are those that are the result of constraints from:

A)Imposed by law though constitutional provisions

B)Imposed by enabling legislation

C)Imposed by creditors or grantors

D)All of the above

62.Proprietary funds:

A)Are required to present a reconciliation between the Statement of Revenues, Expenses, and Changes in Fund Net Assets and the Cash Flow Statement

B)Are required to present budget-actual statements in the fund statements

C)Are not required to accrue interest due more than 30 days after the end of the fiscal year

D)Are required to present a Statement of Revenues and Expenses and Balance sheet.

63.When governments operate landfills as enterprise funds, which of the following is correct?

A)GASB requires that certain postclosure costs be estimated and accrued during the period the landfills receive solid waste.

B)GASB requires that a portion of future estimated costs be charged as an expense and liability of the landfill using units-of-production method as waste is accepted.

C)The purpose of recording postclosure expenses and liabilities is to match the estimated costs with the revenues during the period of time the waste is accepted.

D)All of the above are correct

64.The Statement of Cash Flows for a proprietary fund would include which of the following?

A)Operating, investing, financing

B)Operating, capital and related financing, investing

C)Operating, investing, fiduciary and capital related financing activities

D)Operating, investing, capital and related financing and noncapital related financing

65.Pollution remediation costs:

A)Are recorded as expenses if they will be paid from current resources.

B)Are to be accrued as a liability in the basic financial statements.

C)Are not an issue is the state or local government merely used (but did not operate) the polluted site.

D)All of the above

66.Proprietary funds utilize what basis of accounting?

A)Modified accrual.

B)Accrual.

C)Cash.

D)Budgetary.

67.Which of the following are best described as proprietary funds?

A)I only.

B)I and II.

C)I and III.

D)I, II, and III.

68.Activities that produce goods or services to be provided to other departments or other governmental units would be reported in which fund?

A)Enterprise fund.

B)Internal service fund.

C)Agency fund.

D)Advance fund.

69.Governmental units use which fund type to account for services provided to the general public on a user-charge basis?

A)General Fund.

B)Enterprise fund.

C)Permanent fund.

D)Internal service fund.