In Addition to Financial Statements and Notes, the GASB Requires

question 61

True/False

In addition to financial statements and notes, the GASB requires governments to provide information on service efforts and accomplishments (SEA) in their reports to the public.

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Definitions:

Indirect Labor

Workers who provide support to the production process but are not directly involved in creating the product.

Resource Consumption

The amount of resources (such as raw materials, energy, or labor) used by an organization in its operational processes.

Activity-Based Costing

A costing method that identifies activities in an organization and assigns the cost of each activity resource to all products and services according to the actual consumption.

Activity Cost Pools

A grouping of all costs related to a particular business activity, used in activity-based costing to allocate costs more accurately.