Chapter 18, Problem 18.1C

a

To determine

Introduction:

Government-wide financial statements: GASB 34 requires the financial statements has to be prepared on economic resources measurement with the accrual basis of accounting. The government-wide financial statements include statements of net position and statement of activities.

The basic difference in revenue recognition between the accrual basis of accounting and the modified accrual basis of accounting in relation to governmental accounting.

b

To determine

Introduction:

Government-wide financial statements: GASB 34 requires the financial statements has to be prepared on economic resources measurement with the accrual basis of accounting. The government-wide financial statements include statements of net position and statement of activities.

The basis of accounting for general fund, special revenue fund and enterprise fund