83. A transfer should be reported in the operating statement of the General Fund as a(an): A)Revenue or Expenditure. B)Due from or Due to Other Funds. C)Other Financing Source or Use. D)None...





83. A transfer should be reported in the operating statement of the General Fund as a(an):



A)Revenue or Expenditure.



B)Due from or Due to Other Funds.



C)Other Financing Source or Use.



D)None of the above, it is a direct increase or decrease to fund balance.



84. The Revenues Control account of the General Fund is debited when:



A)The budget is recorded at the beginning of the year.



B)Uncollectible taxes receivable accounts are written off.



C)Property taxes are collected.



D)None of the above.



85. The asset, equipment, used by a department accounted for by the General Fund of a governmental unit should be reported in the:



A)General Fund.



B)Government-wide statements.



C)Both (a) and (b).



D)None of the above.



86. Liabilities incurred, such as for accrued payroll, but still unpaid at year-end, should be recorded in the General Fund by a debit to which one of the following accounts?



A)Current Expense.



B)Appropriations.



C)Encumbrances.



D)Expenditures.



87. The following items were included in the City of Wilson's General Fund expenditures for the year ended June 30, 2014:

















Computer for City Clerk




$ 15,000




Maintenance on heating units for City Hall




$ 9,000






How much should be classified as capital assets in Wilson's General Fund balance sheet at June 30, 2014?



A)$ -0-.



B)$ 9,000.



C)$15,000.



D)$24,000.



88. What would be the effect on the General Fund’s Fund Balance at the end of the current fiscal year of recording the purchase of a $15,000 new computer with a five year estimated useful life and zero salvage?



A) Reduce the General Fund's Fund Balance $ 3,000.



B)Reduce the General Fund's Fund Balance $15,000.



C)Reduce the General Fund's Fund Balance $18,000.



D)Have no effect on the General Fund's Fund Balance.



89. A local government was awarded a federal grant in the amount of $900,000 to provide for a summer youth employment program for young people. The grant was a reimbursement grant, and a notification of the grant award was received on Apri1 30, 2014. The local government expended the resources as follows:



? June, 2014, $350,000;



? July, 2014, $300,000;



? August, 2014, $250,000.





The federal government sent the funds in the month following the expenditure. The local government would recognize revenues for the fiscal year ended June 30, 2014 in which amount?



A)$900,000.



B)$650,000.



C)$350,000.



D)$ -0-.



90. The General Fund of the City of Bangor purchased water from its Water Utility Fund in the amount of $20,000. The General Fund would debit:



A)Expenditures Control.



B)Other Financing Uses-Transfers Out.



C)Water Expense.



D)None of the above; no entries would be made.



91. General Fund resources were expended in the amount of $180,000 to purchase a new fire truck. The General Fund would debit:



A)Expenditures Control.



B)Capital assets -Motor Vehicles.



C)Both (a) and (b) above.



D)None of the above; no entry is made in the General Fund when a motor vehicle is purchased because only current financial resources are recorded in the General Fund.



92. Which of the following is true regarding modified accrual accounting?



A)Revenues are recognized when measurable and available to finance expenditures of the current period.



B)Expenditures are generally recognized as the related goods or services are received.



C)Both (a) and (b) above.



D)None of the above.





May 15, 2022
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