What measurement focus do the government wide financial statements use?

economic resources measurement focuseconomic resources measurement focus and the accrual basis of accounting.

What is the measurement focus and the basis of accounting for the government wide financial statements quizlet?

F – Government-wide statements are prepared using the accrual basis of accounting and the economic resources measurement focus. A Statement of Cash Flows is required for which type of fund? 2.

What measurement focus is used in government wide financial statements and what system is applied to determine the timing of revenue and expense recognition?

Government-wide financial statements use the economic resources measurement focus and accrual accounting for the timing of revenue and expense recognition. The accounting is very similar to that of for-profit organizations.

What is a measurement focus and basis of accounting?

Measurement focus tells you what to record in the financial statements. There are two basic measurement focuses used – current financial resources and economic resources. A basis of accounting tells you when a transaction is recorded in the financial statements.

What is the basis of accounting for governmental funds?

Modified accrual basis accounting

Modified accrual basis accounting is used for all governmental funds (general, federal special revenue, other special revenue, general debt service, debt service, and capital projects). Under the cash basis, transactions are recognized only when cash changes hands.

What does the basis of accounting determines for accounting system?

The basis of accounting determines the extent of information that an accounting system can collect and therefore report. A pure, cash-based system can only report on cash balances and cash flows (inward and outward).

How has governmental budgeting influenced the measurement focus and basis of accounting used in the governmental funds category?

How has governmental budgeting influenced the measurement focus and basis of accounting used in the governmental funds category? The governmental budget process is one of estimating the yield from taxes and other sources and authorizing the expenditure of those resources.

How is Governmental Accounting different?

“Unlike the financial (for-profit business) accounting, in the governmental accounting, the consumptions are not calculated as part of the facility assets. The accounts of the governmental accounting do not discriminate between the capital expenses and the current revenue expenditures.”