Accounting Homework – Budgetary Compliance: Expenditure, Revenue, and Interperiod Equity

Name:
Homework Due

Points Possible

Points Received

Exercise 1-1

4


Problem 1-3

8


Exercise 2-6

4


Continuing

8


Problem 2-6

8


Chapter 1:
Exercise 1-1 (Questions 1 through 10) textbook pages 27-28
(Enter the letters a, b, c, or d next to the question number)
1. A
2. D
3. C
4. C
5. B
6. C
7. D
8. C
9. B
10. C
Problem 1-3 textbook page 31
(For each transaction, indicate the amount of revenue or expenditure that would be reported in 2020. Indicate the amount recognized as interperiod equity. Remember, that interperiod equity can best be achieved by identifying the economic substance of each transaction and recording it when it has its substantive economic impact – that is, on an accrual basis. If there is no amount that applies, enter NA.)
1 Budgetary compliance:
* Expenditure 2020: __0________
* Revenue 2020: ______0______
Interperiod equity: ____$128,000_____
Budgetary compliance:
* Expenditure 2020: ___$170,000___
* Revenue 2020: ____$55,000__
Interperiod equity: ___ ($55,000) ___
Budgetary compliance:
* Expenditure 2020: __$105,000____
* Revenue 2020: ___0___
Interperiod equity: ___$70,000_____
Budgetary compliance:
* Expenditure 2020: __________
* Revenue 2020: _____$1,000______
Interperiod equity____0______
Budgetary compliance:
* Expenditure 2020: ___$400,000____
* Revenue 2020: ____$0______
Interperiod equity: _____$9,600,000
Budgetary compliance:
* Expenditure 2020: _____$0____
* Revenue 2020: _______$0______
Interperiod equity: ______$10,000,000_________
2 Budgetary compliance:
* Expenditure 2020: _____$0____
* Revenue 2020: ________$1,200__
Interperiod equity: ___________$0__________.
3 Budgetary compliance:
* Expenditure 2020: ____$300,000_____
* Revenue 2020: ______$0_____
Interperiod equity: ______$300,000
Chapter 2:
Exercise 2-6 textbook page 82.
For each letter enter the number corresponding to the appropriate fund.
a. 8
b. 2
c. 7
d.6
e. 4
f.3
g.1
h.5
Continuing Problem (Questions 1 through 4) textbook pages 82-83 – 2021 Town of Cary, NC CAFR is used for these questions found at /home/showpublisheddocument/27493/637751798814470000
(Enter the answer to the question next to the question number and letter if present)
1 1. The Introductory Section,
2. The Financial Section
3. The Statistical Section.
2. a. Yes or No
Significance –
Yes, this award is the highest form of recognition in the area of governmental accounting and financial reporting, and its attainment represents a significant accomplishment by a governmental entity.
b. Key issues addressed in letter of transmittal –
The key issues addressed in the letter of transmittal are the town's financial condition, its compliance with accounting principles, and its use of fund balance.
3. a. ______Cherry Bekaery CPA & Advisors_ _____________________________________________________
b. Yes or No –
If no, why not? –
The Town of Cary received a "unqualified" audit opinion from their auditors. This is because the Town's financial statements were free of material misstatements and the Town's financial position, results of operations, and cash flows were all presented fairly.
c. Management Discussion and Analysis – Yes or No –
If yes, key issues are –
Yes, the report contains management's discussion and analysis (MD&A). The key issues addressed in the MD&A include: The town's financial position , the town's revenues and expenditures, the town's long-term debt , and the town's capital projects
d. Reconciliation between total governmental net position per government-wide statement of net position – and – total governme...