ACC 380 Quiz 1 Q4

The Financial Accounting Standards Board has the responsibility for setting accounting and financial reporting standards for which of the following? Multiple Choice O O O O Special purpose governments with a business purpose. All not-for-profit organizations. All not-for-profit organizations that are nongovernmental and business entities. All not-for-profit organizations and business entities.

Compilation and Review Procedures. The following numbered items 1–10 state procedures accountants should consider in review engagements and compilation engagements on the annual financial statements of nonissuers (performed in accordance with AICPA Statements on Standards for Accounting and Review Services).Required:For each item (taken separately), tell whether the item is required in all review engagements and/or required in all compilation engagements. For each item, give two responses, one regarding review engagements and the other regarding compilation engagements.1. The accountants should establish an understanding in writing with the entity’s management regarding the nature and limitations of the services to be performed.2. The accountants should make inquiries concerning actions taken at the board of directors’ meetings.3. The accountants, as the entity’s successor accountants, should communicate with the predecessor accountants to obtain access to the predecessors’ audit…

What is  the composition of a state or local government’s comprehensive annual financial report (CAFR)?

In preparing GAAP-based financial reports, nonprofit organizations must present their expenses by both natural classification and function. Which of the following is/are acceptable approaches? Within the notes to the financial statements As a separate statement/schedule Within the statement of activities Within the statement of financial position

Which of the following would typically not be included in the introductory section of a comprehensive annual financial report?   Multiple Choice   Title and contents page.   Letter of transmittal.   A description of the government.   Summary of the government's current financial position and results of financial activities.

Which of the following statements is prepared by all not-for-profit organizations? O Statement of changes in net position. O Both Statement of financial position and Staternent of changes in net position. O Statement of financial position. O Statement of revenues, expenses, and changes in net position.

Name differences in accounting and financial reporting for the federal government by examining the government - wide annual report.

Which of the following agencies issues independence rules for the auditors of public companies?a. Financial Accounting Standards Board (FASB).b. Government Accountability Office (GAO).c. Public Company Accounting Oversight Board (PCAOB)d. AICPA Accounting and Review Services Committee (ARSC)

Distinguish between accounting and financial reporting for state and local governments and VHWOs for the following issues: 1. Measurement focus and basis of accounting 2. Revenue recognition 3. Depreciation expense 4. Capital assets