Concept introduction The key part of a business is the government. The governmental funds are termed as the general funds. Accounting and financial reporting becomes more important with increasing economy. There are two types of financial organizations in this category, governmental and not-for-profit entities. Budgeting helps to obtain optimal resource allocations to those entities and manage them efficiently. The way financial measurement focus and the economic resources measurement focus differ. The impact of these two focuses on the presentation of financial information. The reason that the addition of reporting under the economic resources focus provide added value to the understating of operation of government.

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Answer 1

Question

Chapter 15, Problem 1UTI

To determine

Concept introduction

The key part of a business is the government. The governmental funds are termed as the general funds. Accounting and financial reporting becomes more important with increasing economy. There are two types of financial organizations in this category, governmental and not-for-profit entities. Budgeting helps to obtain optimal resource allocations to those entities and manage them efficiently.

The way financial measurement focus and the economic resources measurement focus differ. The impact of these two focuses on the presentation of financial information. The reason that the addition of reporting under the economic resources focus provide added value to the understating of operation of government.

Expert Solution & Answer

Explanation of Solution

Consider the following transactions.

Salaries paid, $20,000.

For a governmental organization using the flow of the financial measurement focus, the salary is accounted as the expenditure. The entry of salary in journal is as follows.

Date	A/C Title	Post Ref.	Debit	Credit
	Expenditure		$20,000
	Cash			$20,000
	To record the payment of the salaries

In case of government side statement using the flow of economic measure focus, the salary is accounted as the expense and the journal entry will be as follows.

Date	A/C Title	Post Ref.	Debit	Credit
	Salary Expense		$20,000
	Cash			$20,000
	To record the payment of the salaries

The fundamental difference between both the focuses is that the financial resource measurement focus, only discuss the cash or asset that are expected to be converted to cash within the accounting period or in a specific period near the accounting period.

While the progress of economic resource measurement focus discusses all the assets that are accessible to the organization, not only in cash form but soon to be in cash asset as well.

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Students have asked these similar questions

Lina purchased a new car for use in her business during 2024. The auto was the only business asset she purchased during the year, and her business was extremely profitable. Calculate her maximum depreciation deductions (including §179 expense unless stated otherwise) for the automobile in 2024 and 2025 (Lina doesn't want to take bonus depreciation for 2024) in the following alternative scenarios (assuming half-year convention for all): (Use MACRS Table 1, Table 2, and Exhibit 10-10.) b. The vehicle cost $85,000, and business use is 100 percent. Year Depreciation deduction 2024 2025

What adjusting journal entry should be recorded to account for the expiration of this asset on these financial accounting question?

Assume that ACW Corporation has 2024 taxable income of $1,720,000 for purposes of computing the §179 expense. The company acquired the following assets during 2024 (assume no bonus depreciation): (Use MACRS Table 1, Table 2, and Table 5.) Asset Machinery Placed in Service September 12 Basis $ 492,000 Computer equipment Delivery truck February 10 August 21 Qualified real property (MACRS, 15 year, 150% DB) April 2 Total 92,000 115,000 1,402,000 $ 2,101,000 a. What is the maximum amount of §179 expense ACW may deduct for 2024? b. What is the maximum total depreciation that ACW may deduct in 2024 on the assets it placed in service in 2024? Note: Round your intermediate calculations and final answer to the nearest whole dollar amount. a. Maximum §179 expense for 2024 b. Maximum total deductible depreciation for 2024

Answer 2

Question

Chapter 15, Problem 1UTI

To determine

Concept introduction

The key part of a business is the government. The governmental funds are termed as the general funds. Accounting and financial reporting becomes more important with increasing economy. There are two types of financial organizations in this category, governmental and not-for-profit entities. Budgeting helps to obtain optimal resource allocations to those entities and manage them efficiently.

The way financial measurement focus and the economic resources measurement focus differ. The impact of these two focuses on the presentation of financial information. The reason that the addition of reporting under the economic resources focus provide added value to the understating of operation of government.

Expert Solution & Answer

Explanation of Solution

Consider the following transactions.

Salaries paid, $20,000.

For a governmental organization using the flow of the financial measurement focus, the salary is accounted as the expenditure. The entry of salary in journal is as follows.

Date	A/C Title	Post Ref.	Debit	Credit
	Expenditure		$20,000
	Cash			$20,000
	To record the payment of the salaries

In case of government side statement using the flow of economic measure focus, the salary is accounted as the expense and the journal entry will be as follows.

Date	A/C Title	Post Ref.	Debit	Credit
	Salary Expense		$20,000
	Cash			$20,000
	To record the payment of the salaries

The fundamental difference between both the focuses is that the financial resource measurement focus, only discuss the cash or asset that are expected to be converted to cash within the accounting period or in a specific period near the accounting period.

While the progress of economic resource measurement focus discusses all the assets that are accessible to the organization, not only in cash form but soon to be in cash asset as well.

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Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 3

Question

Chapter 15, Problem 1UTI

To determine

Concept introduction

The key part of a business is the government. The governmental funds are termed as the general funds. Accounting and financial reporting becomes more important with increasing economy. There are two types of financial organizations in this category, governmental and not-for-profit entities. Budgeting helps to obtain optimal resource allocations to those entities and manage them efficiently.

The way financial measurement focus and the economic resources measurement focus differ. The impact of these two focuses on the presentation of financial information. The reason that the addition of reporting under the economic resources focus provide added value to the understating of operation of government.

Expert Solution & Answer

Explanation of Solution

Consider the following transactions.

Salaries paid, $20,000.

For a governmental organization using the flow of the financial measurement focus, the salary is accounted as the expenditure. The entry of salary in journal is as follows.

Date	A/C Title	Post Ref.	Debit	Credit
	Expenditure		$20,000
	Cash			$20,000
	To record the payment of the salaries

In case of government side statement using the flow of economic measure focus, the salary is accounted as the expense and the journal entry will be as follows.

Date	A/C Title	Post Ref.	Debit	Credit
	Salary Expense		$20,000
	Cash			$20,000
	To record the payment of the salaries

The fundamental difference between both the focuses is that the financial resource measurement focus, only discuss the cash or asset that are expected to be converted to cash within the accounting period or in a specific period near the accounting period.

While the progress of economic resource measurement focus discusses all the assets that are accessible to the organization, not only in cash form but soon to be in cash asset as well.

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Answer 4

Question

Chapter 15, Problem 1UTI

To determine

Concept introduction

The key part of a business is the government. The governmental funds are termed as the general funds. Accounting and financial reporting becomes more important with increasing economy. There are two types of financial organizations in this category, governmental and not-for-profit entities. Budgeting helps to obtain optimal resource allocations to those entities and manage them efficiently.

The way financial measurement focus and the economic resources measurement focus differ. The impact of these two focuses on the presentation of financial information. The reason that the addition of reporting under the economic resources focus provide added value to the understating of operation of government.

Expert Solution & Answer

Explanation of Solution

Consider the following transactions.

Salaries paid, $20,000.

For a governmental organization using the flow of the financial measurement focus, the salary is accounted as the expenditure. The entry of salary in journal is as follows.

Date	A/C Title	Post Ref.	Debit	Credit
	Expenditure		$20,000
	Cash			$20,000
	To record the payment of the salaries

In case of government side statement using the flow of economic measure focus, the salary is accounted as the expense and the journal entry will be as follows.

Date	A/C Title	Post Ref.	Debit	Credit
	Salary Expense		$20,000
	Cash			$20,000
	To record the payment of the salaries

The fundamental difference between both the focuses is that the financial resource measurement focus, only discuss the cash or asset that are expected to be converted to cash within the accounting period or in a specific period near the accounting period.

While the progress of economic resource measurement focus discusses all the assets that are accessible to the organization, not only in cash form but soon to be in cash asset as well.

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Answer 5

Chapter 15, Problem 1UTI

To determine

Concept introduction

The key part of a business is the government. The governmental funds are termed as the general funds. Accounting and financial reporting becomes more important with increasing economy. There are two types of financial organizations in this category, governmental and not-for-profit entities. Budgeting helps to obtain optimal resource allocations to those entities and manage them efficiently.

The way financial measurement focus and the economic resources measurement focus differ. The impact of these two focuses on the presentation of financial information. The reason that the addition of reporting under the economic resources focus provide added value to the understating of operation of government.

Expert Solution & Answer

Explanation of Solution

Consider the following transactions.

Salaries paid, $20,000.

For a governmental organization using the flow of the financial measurement focus, the salary is accounted as the expenditure. The entry of salary in journal is as follows.

Date	A/C Title	Post Ref.	Debit	Credit
	Expenditure		$20,000
	Cash			$20,000
	To record the payment of the salaries

In case of government side statement using the flow of economic measure focus, the salary is accounted as the expense and the journal entry will be as follows.

Date	A/C Title	Post Ref.	Debit	Credit
	Salary Expense		$20,000
	Cash			$20,000
	To record the payment of the salaries

The fundamental difference between both the focuses is that the financial resource measurement focus, only discuss the cash or asset that are expected to be converted to cash within the accounting period or in a specific period near the accounting period.

While the progress of economic resource measurement focus discusses all the assets that are accessible to the organization, not only in cash form but soon to be in cash asset as well.

Answer 6

Chapter 15, Problem 1UTI

To determine

Concept introduction

The key part of a business is the government. The governmental funds are termed as the general funds. Accounting and financial reporting becomes more important with increasing economy. There are two types of financial organizations in this category, governmental and not-for-profit entities. Budgeting helps to obtain optimal resource allocations to those entities and manage them efficiently.

The way financial measurement focus and the economic resources measurement focus differ. The impact of these two focuses on the presentation of financial information. The reason that the addition of reporting under the economic resources focus provide added value to the understating of operation of government.

Expert Solution & Answer

Explanation of Solution

Consider the following transactions.

Salaries paid, $20,000.

For a governmental organization using the flow of the financial measurement focus, the salary is accounted as the expenditure. The entry of salary in journal is as follows.

Date	A/C Title	Post Ref.	Debit	Credit
	Expenditure		$20,000
	Cash			$20,000
	To record the payment of the salaries

In case of government side statement using the flow of economic measure focus, the salary is accounted as the expense and the journal entry will be as follows.

Date	A/C Title	Post Ref.	Debit	Credit
	Salary Expense		$20,000
	Cash			$20,000
	To record the payment of the salaries

The fundamental difference between both the focuses is that the financial resource measurement focus, only discuss the cash or asset that are expected to be converted to cash within the accounting period or in a specific period near the accounting period.

While the progress of economic resource measurement focus discusses all the assets that are accessible to the organization, not only in cash form but soon to be in cash asset as well.

Answer 7

Chapter 15, Problem 1UTI

To determine

Concept introduction

The key part of a business is the government. The governmental funds are termed as the general funds. Accounting and financial reporting becomes more important with increasing economy. There are two types of financial organizations in this category, governmental and not-for-profit entities. Budgeting helps to obtain optimal resource allocations to those entities and manage them efficiently.

The way financial measurement focus and the economic resources measurement focus differ. The impact of these two focuses on the presentation of financial information. The reason that the addition of reporting under the economic resources focus provide added value to the understating of operation of government.

Answer 8

Expert Solution & Answer

Explanation of Solution

Consider the following transactions.

Salaries paid, $20,000.

For a governmental organization using the flow of the financial measurement focus, the salary is accounted as the expenditure. The entry of salary in journal is as follows.

Date	A/C Title	Post Ref.	Debit	Credit
	Expenditure		$20,000
	Cash			$20,000
	To record the payment of the salaries

In case of government side statement using the flow of economic measure focus, the salary is accounted as the expense and the journal entry will be as follows.

Date	A/C Title	Post Ref.	Debit	Credit
	Salary Expense		$20,000
	Cash			$20,000
	To record the payment of the salaries

The fundamental difference between both the focuses is that the financial resource measurement focus, only discuss the cash or asset that are expected to be converted to cash within the accounting period or in a specific period near the accounting period.

While the progress of economic resource measurement focus discusses all the assets that are accessible to the organization, not only in cash form but soon to be in cash asset as well.

Answer 9

Expert Solution & Answer

Answer 10

Expert Solution & Answer

Answer 11

Ch. 15 - Prob. 1UTI Ch. 15 - Name three advantages gained by government...Ch. 15 - Why are budgets crucial in accounting for...Ch. 15 - Prob. 4UTI Ch. 15 - Prob. 5UTI Ch. 15 - Prob. 6UTI Ch. 15 - Prob. 7UTI Ch. 15 - Prob. 1.1E Ch. 15 - Prob. 1.2E Ch. 15 - Accounting for transactions. Select the best...

Explanation of Solution

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