True/False Questions
1. The Governmental Accounting Standards Board sets financial reporting standards for all units of government: federal, state, and local.
2. Fund accounting exists primarily to provide assurance that resources are used according to legal or donor restrictions.
3. The Financial Accounting Standards Board sets financial reporting standards for profit-seeking businesses and nongovernmental, not-for-profit organizations.
4.FASAB, GASB and FASB standards are set forth primarily in documents called statements.
5.FASAB, GASB and FASB standards are set forth primarily in documents called concept statements.
6.The FASAB was established to recommend accounting and financial reporting standards for the federal government.
7.The GASB does not require supplementary information to be reported with its financial statements even if it is essential to establish appropriate context for the financial statements and notes.
8.The Financial Accounting Standards Board sets financial reporting standards for private not-for-profits and investor-owned businesses.
9. An organization is presumed to be governmental if it has the ability to issue directly debt that is exempt from federal taxes.
10.The Financial Accounting Standards Board and the Governmental Accounting Standards Board are parallel bodies under the oversight of the Financial Accounting Foundation.
1