far govt accounting

proprietary fund type

Internal service fund

enterprise fund

interest expense > or < interest paid for discount vs premium bonds

disc → int exp > payment

premium → interest exp < payment

fiduciary fund type

customer fund

investment trust

private purpose

pension

other employment benefit

set up to account for resrouces used for the acquisition or construction of major capital assets by govt unit except htose funded by proprietary / fiduciary funds

capital projects

fund that reports resources that are legally restricuted to the extent that income not principal may. be used to support govt programs

permament

govt fund type

general

special reveneus

debt service

capital project

permenant funds

reconcilling times for balance /Bank statement

deposti in transits +

outstanding checks -

effective tax rate

income tax expense / pre tax income

fund set up to accoutn for revenues from specific taxes or other services that all restricted/commited to finance particular activities for a govt

speicial revenue fund

criteria to consolidate subdidiaries

when parent contorl the subsidiary > 50% own of voting stock

dont consoldiate if control not with parent

set up to account for. the acquisition and operatoin of govt facilities and services that are intended to be primarily self supported by user charges

enterprise fund

set up to account for g/s provided by designated department on a fee basis to other department and agenciy with in a single govt unit or other govt unit

internal service

property divideds are _ from * at ()

subtracted RE at mv(FV)

Accounts for resources held temporarily by the government as a custodian or agent for individuals, private organizations, or other governments (e.g., alimony payments held by a court before distribution).

custodial

profit margin formula

ni/sales

units of production depreciation formula

cost - salvg / est hour * act hours

2 step test for and long lived assets held for use intangible with finite life impairment ?

1. cv of the asset is compared to undiscounted cf

2. carrying amount is < undis cf, impair to the fv amount vs cv

what impacts the income statement amount with equity method

investee income - % amortizaton of excess fv (unless not depreciable)

what impacts the bs statement amount with equity method

p.p. + investee income - dividedends - amortization (unless not depreciable)

equitty method of goodwill

fv of equity(se at acq + fv excess of assets) * % ownership - price paid

in a NFP amoutns payable to specific beneficiaries are agency transactions that would be recorded as an

liabiltiy and not reflected as revenue

asset appraisal cost _ to cost of asset acquired

add

actual gain on sale of afs security?

og purcahse price - mv at time of sale

fv of endownment < amount intially gifted

underwater endowment

Underwater endowment funds are reported together with ** in net assets * donor restrictions.

accumulated losses, with

T/F GL on bond retirement/sale is recognized even if bought by wholly owned subsidary

true

conditional promises

get no accounting entry

good faith advances from conditonal promises

liability - refundable advance

small stock dividend je

Fair value

DR re fv

CR cs par

CR apic

large stock divedend JE

Par value

DR RE par

CR cs par

threshold for large vs small stock dividend

small < 20 25%

large > 20 25%

cum acretion exp

= final liability value - pv booked at begining

bond liability on BS

= fv of bond + prem - disc

When comparative financial statements are not presented, the cumulative effect of a change in accounting principle equals the difference between retained earnings at the * of period of the change and what retained earnings would have been if the change was applied to all affected prior periods. If comparative financial statements are presented, then the cumulative effect is calculated at the beginning of the () period presented.

begining, earliest

discontinue operatoins included or not included in NI ?

included

sales of trading securities gain or loss

mv at date of sale - mv at last date

unrestricted gift to the foundation serves to increase the net assets of the foundation, however, absent any agreement amongst the beneficiary organizations regarding the distribution of the foundation's resources or stipulations by the donor, * of the entities would include the interest in net assets resulting from the gift in their financial statements.

none

proceeds from trading security typically what cf

operating

proceed from htm and afs typically what cf

investing

interst recived and income taxes paid are what type of cf

operating included through NI

if the question says interest payble at end of FYE do what

amount of interest that will be due next year ie face amount of the bond * ir bonds times amount of month until next interest payment

bond interest payable =

face Value × Coupon Rate × Portion of the Year

bond interest expense =

Carrying Value of the Bond × Effective (Market) Interest Rate
This amount can vary each period because it includes amortization of any discount or premium.

TF If a HTM debt security is purchased at par value, it will be valued and reported at the purchase price until it matures.

TRue

are NFP also required to report disclosure of functional expenses with their statement of financial position, statement of activities and SOCF

YES

TF general fund will not account for fee based services

true

TANS are displayed as what

a current liability

publci safety expense goes where

general fund

performing a service and getting compensated for it in a NFP

exchagne revenue

exchange revenue with or without donor restriction?

without donor restrictions

in regards to wills what do you recognize

no recognition ( change at any time) no classification

The difference between * value and () market value of the property dividend should be recorded as gain/loss on * of asset.

book, fair, disposal

net patient service revenue =

gross - charity care - allowace for contractual losses

when to use forward rate on foreign currency transaction?

when a forward contract is in place

unmailed checks by end of fye should affect ap how

add back to account payable

net operating loss tha will be cf is what

temporary dta

if a note is discounted somewhere what do the proceeds equal

maturity value- discount %

current liablity for finance lease

lease payment - next year interest expense

The lower of cost or market rule for inventories may be applied to total inventory, to groups of similar items, or to each item. Which application generally results in the lowest inventory amount?

seperately to each item

if amortized amount is < pv of cf but fv is greater then amortized cost for AFS security

loss is limited to loss from fv ie ecl is amort - pv but 0 would be recogized on IS

to remember when categorizing NFP expenses

look for things included that should be capatalized vs expensed first

the activities for which the organization is chartered.

Program services

include everything not classified as program services, including fund raising, administration and membership development

Support services

rule for retireing stock

reacq price is < pp?

> pp?

gain to apic

loss to RE

JE for retiring stock

DR cs, apic CR cash plug of dr to re or cr to apic

for goodwill recognition when liabilities are not mentioned and only TSE and FV of assets given

take fv of assets as fv of net assets * % - pp

can you recognize contributed revenue for a skill provided if the NFP had previsouly obtained the skill from volunteers and hadnt paid them?

No

Only ** have separate earnings per share calculations and disclosures.

discontinued operations

when msring change in AR for SOCF should they be presented net of ADA or not

net of ADA

Which of the following is not a cost associated with exit and disposal activities?

	A.	Costs associated with the retirement of a fixed asset.
	B.	Benefits related to involuntary employee termination.
	C.	Costs to relocate employees.
	D.	Costs to terminate contract that is not a direct finance lease.

cost associated with the retirment of fixed assets

when foundation has variance power what does beneficiary recognize

0

A change in method of accounting for ** , *,** is a change in accounting principle inseparable from a change in estimate. When a change in accounting principle is considered inseparable from a change in estimate, the change is handled as a change in estimate - (). No () effect adjustment is made.

demo cost, depreciation, to lifo, prospectively, cumulative

Gains included in net income:

1

2

3

Realized gains, gains from continuing operations, unusual/infrequent gains

The Statement of Activities shall report * amounts of revenues and expenses. The cost of premiums (gifts) given to acknowledge donations is classified as a * expense.

gross, fundraising

if financialy interlated a asset would be recognized by NFP beneficiary as

equity interest at FV

if NOT financialy interlated a asset would be recognized by NFP beneficiary as

beneficial interest at FV

in service date is irrelevant for depreciation when

half year convention is used

if probable you wont collect bc bankruptcy what JE

write off DR ADA CR AR

An operating lease will treat the ** as a cash outflow from operations.

entire payment

. For a finance lease, the * component will be a cash outflow from operations while the * of the payment will be a cash outflow from financing. 

interest remainder

the primary operating fund of a govt, used to account for all financial resources except those required to be acct for in other funds

general fund

accounts for the accumulation of resouces and payment of principal and interest on LTD

debt service

holds resources in trust for the benefit of specific individuals private organizations or other govts, oftne for long term

private purpose trust fund

accounts for the external portion of investment pools reported by the sponsoring govt

investment trust fund

used to report resouces that are required to be held in trust for the members and benefciares of defined benefit pension plans defined contribution plans or other post employment benefits plan

pension trust fund

what else to consdier when asking about non wholly own subsidiary TSE on consolidated BS

NCI

what makes up NCI

fv of sub net assets, ni, - divid

NCI of subsidiary adds or subtracts to parents TSE

adds

Yes, when preparing consolidated financial statements, you generally include * of the subsidiary’s assets and liabilities at fv, regardless of the percentage ownership the parent company has. This means you consolidate the full amounts of both assets and liabilities of the subsidiary.

100%,

what amount of subsidary NI in included in consolidated IS

100% of NI

Disclosure of the estimated effect of a change in an estimate used in the preparation of financial statements must be disclosed if it is ** that the estimate will change in the near term and if the change in the estimate would be *

reasonibly possible and material

ARO are preseneted at present value so use

discounted cash flow

When an entity reissues financial statements, the entity should not recognize events (i.e., adjust for events) that occurred between the date the * * were issued or available to be issued and the date the financial statements were *

og FS reissued

When the loss is * and *, the expected loss must be recorded in *.

probable estimable full

land held for resale is a

current asset

stock dividend get added retoractively ie?

add % to not. only bb but issuances —> 50% stock dividend 30000 issuance —> 45000 issuance

calculation of basic eps: stock split occur after YE but before FS were issued account how?

retroactively adjust basic eps

endowment funds require what to be explicitly stated

that principal be held in perpetuity

if acquisition occurs after end of current reporting period

change in accounting entity, disclose in footnotes a subsequent event but no impact on current reporting period financials

When two or more purchases of stock cause ownership to go from less than 20% to more than 20%, the equity method should be used starting on the date significant influence is * and going forward. Retroactive adjustments of prior periods are *

acquired, not required