Under the GASB Statement No

question 27

Multiple Choice

Under the GASB Statement No.34 reporting model for governmental entities, which of the following is required?

• A)Only one set of financial statements, prepared on the full accrual basis of accounting.
• B)Only one set of financial statements, prepared on the modified accrual basis of accounting.
• C)Two sets of financial statements, one that views the government as a collection of separate funds and reports using the current financial resources measurement focus and modified accrual basis of accounting for governmental funds and one that views the government as a whole by combining all governmental activities in one column and all business-type activities in another column using the full accrual basis of accounting for both columns.
• D)Two sets of financial statements, one that views the government as a whole using the current financial resources measurement focus and modified accrual basis of accounting and one that views the government by function and combines all governmental activities in one column and all business-type activities in another column using the full accrual basis of accounting for both columns.

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Definitions:

Ethical Principle

Fundamental guidelines or rules that help govern behaviors and decisions, often in professional and philosophical contexts, based on concepts of right and wrong.

Autonomy

The right or condition of self-government.

Participant's Consent

The agreement by a participant to take part in a study or experiment, given with full understanding of the risks and benefits involved.

Risk-Averse Cultures

Societies or organizational environments that prefer to minimize risks, leading to more cautious decision-making and often avoiding actions that could lead to uncertain outcomes.