Questions from Accounting for Government and Non-Profit

Q: Why is it more difficult to distinguish between internal and external users

Why is it more difficult to distinguish between internal and external users in governments than in businesses?

Q: What is the defining distinction between for‐profit businesses and not

What is the defining distinction between for‐profit businesses and not‐for‐profit entities, including governments? What are the implications of this distinction for financial reporting?

Q: Select the best answer. 1. The traditional business

Select the best answer. 1. The traditional business model of accounting is inadequate for governments and not‐for‐profit organizations primarily because businesses differ from governments and not‐for...

Q: Why is the budget a far more important document for both governments

Why is the budget a far more important document for both governments and not‐for‐profits than for businesses?

Q: What is meant by “interperiod equity,” and what is its

What is meant by “interperiod equity,” and what is its consequence for financial reporting?

Q: Why may the “matching concept” be less relevant for governments

Why may the “matching concept” be less relevant for governments and not‐for‐profits than for businesses?

Q: What is the significance for financial reporting of the many restrictions that

What is the significance for financial reporting of the many restrictions that are placed on a government’s resources?

Q: Why is it difficult to develop accounting principles that are appropriate for

Why is it difficult to develop accounting principles that are appropriate for governments within the same category (e.g., cities, counties) and even more difficult to develop them for governments with...

Q: What is the significance for financial reporting of a government’s power to

What is the significance for financial reporting of a government’s power to levy a tax? How does it affect the government’s overall fiscal strength?

Q: Why has it proven especially difficult to establish accounting principles to satisfy

Why has it proven especially difficult to establish accounting principles to satisfy all three elements of GASB’s first objective of financial reporting in a single statement of revenue and expenditur...