Which of the Following Is True Regarding the Governmental Fund

question 17

Multiple Choice

Which of the following is true regarding the governmental fund financial statements?

• A) The governmental fund financial statements include the Balance Sheet, and the Statement of Revenues, Expenditures, and Changes in Fund Balances.
• B) The governmental fund financial statements are prepared on the current financial resources measurement focus and modified accrual basis of accounting.
• C) The governmental fund Balance Sheet reflects the difference of assets minus liabilities as Fund Balance.
• D) All of the above are true.

---

Definitions:

Practical Importance

Refers to the relevance and applicability of an idea, research finding, or theory to real-world situations.

Central Tendency

A statistical measure that identifies a single value as representative of an entire distribution of data, commonly using the mean, median, or mode.

Standard Deviation

A statistical measure that quantifies the amount of variation or dispersion of a set of data values from their average (mean).

Variance

A measure of the dispersion of a set of data points around their mean; it quantifies the spread of the data.