Government of Ghana Accounting Policy

These flashcards cover key concepts and terms related to the Government of Ghana's Accounting Policy as discussed in the provided lecture notes.

Public Financial Management (PFM)

The processes and systems used by the government to manage its funds and financial resources.

International Public Sector Accounting Standards (IPSAS)

Standards developed to improve the quality of public sector financial reporting.

Ghana Integrated Financial Management Information System (GIFMIS)

An initiative aimed at enhancing public financial management practices through computerization.

Public Financial Management Act, 2016 (Act 921)

Legislation providing the legal framework for financial reporting responsibilities of government entities.

Accrual Basis of Accounting

A method of accounting where revenue and expenses are recorded when they are earned or incurred, regardless of when cash is actually received or paid.

Controller and Accountant-General's Department (CAGD)

The governmental body responsible for the financial management and accounting in Ghana.

Statement of Financial Position

A financial statement that presents the assets, liabilities, and equity of an entity at a specific point in time.

Financial Instruments

Contracts that give rise to financial assets of one entity and financial liabilities or equity instruments of another entity.

Assets

Resources controlled by an entity as a result of past events and from which future economic benefits are expected to flow.

Liabilities

Present obligations of an entity arising from past events, the settlement of which is expected to result in an outflow of resources.

Expenditure Recognition

The process of recording expenses when they are incurred in the financial statements.

Revenue Recognition

The accounting principle that determines the conditions under which income becomes realized as revenue.

Impairment

A reduction in the carrying amount of an asset when its recoverable amount is less than its carrying amount.

Contract Revenue

Revenue recognized from contracts based on the completion of contractual obligations.

Service Concession Arrangement

A binding arrangement between a public sector entity and a private entity for the provision of public services.

Heritage Assets

Items of historical, cultural, or environmental significance that are held by an entity.

Intangible Assets

Identifiable non-monetary assets without physical substance, such as software or patents.

Financial Asset Measurement

The process of determining the value of financial assets at fair value or cost.

Going Concern

The assumption that an entity will continue to operate for the foreseeable future.