If a State Law Requires That Local Governments Prepare General

question 62

Multiple Choice

If a state law requires that local governments prepare General Fund and special revenue fund budgets on a basis that differs from the basis of accounting required by generally accepted accounting principles (GAAP)

• A) The actual amounts in the budgetary comparison schedule should be reported using the government's budgetary basis.
• B) The actual amounts in the budgetary comparison schedule should be reported on the GAAP basis.
• C) Both the budgeted and actual amounts in the budgetary comparison schedule prepared as part of the required supplementary information (RSI)should be reported on the GAAP basis; a separate budget-basis comparison schedule should be prepared for the appropriate state oversight body.
• D) Only a budgetary comparison schedule prepared for the appropriate state oversight body is required.

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Definitions:

Epi-

A prefix meaning 'upon', 'on', 'over', 'near', or 'at', often used in medical and scientific terminology to denote position or relationship.

Onc/o

A prefix in medical terminology denoting relation to tumors or cancer.

Combining Form

A form used in the construction of medical and scientific terminology, typically a root with a vowel at the end that allows it to be connected to other terms.

Tumor

An abnormal mass of tissue that forms when cells grow and divide more than they should or do not die when they should.