TRUE OR FALSE. Please provide an explanation if false. 1. Compared to the accounting for business entities, government accounting places greater emphasis on the sources and utilization of government funds and the management's stewardship over government resources. 2. Taxes are the main source of funds of the government. 3. Other sources of funds of the government include fees, borrowings, and grants from other governments and international bodies.
TRUE OR FALSE. Please provide an explanation if false.
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1. Compared to the accounting for business entities, government accounting places greater emphasis on the sources and utilization of government funds and the management's stewardship over government resources. |
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2. Taxes are the main source of funds of the government. |
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3. Other sources of funds of the government include fees, borrowings, and grants from other governments and international bodies. |
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4. Currently, the financial reporting of government entities is based on NGAS. |
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5. The principles used in the financial reporting of government entities are very unique that only a very few of these principles are similar to those that are applied to business entities. |
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6. The principles in the GAM for NGAs are similar to the principles in the PFRSs. |
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7. The GAM for NGAs is promulgated by the Philippine Congress under the authority conferred to it under the Philippine Constitution. |
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8. A unique financial reporting requirement of government entities is the use of fund cluster accounting. Under fund cluster accounting, separate books and reports are prepared for each type of fund held by a government entity. |
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9. The GAM for NGAs is promulgated primarily to harmonize government accounting standards with the U.S. GAAP |
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10. An item is recognized as an asset if it meets both the "probable future economic benefits" and "reliable measurement" criteria, regardless of whether the item is a resource controlled arising from past events. |
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