Agency Funds Report

question 29

Multiple Choice

Agency funds report:

• A)only assets and liabilities.
• B)assets,liabilities,fund balance,revenues,and expenditures.
• C)assets,liabilities,and fund balance.
• D)only revenues and expenditures.

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Definitions:

Impairment Rule

Financial accounting guidelines that require a firm to report a reduction in the value of its assets when they are deemed to be worth less than their carrying amount.

Net Operating Profit After Taxes (NOPAT)

NOPAT is a financial metric that calculates a company's theoretical income from operations after taxes, assuming it has no debt.

Interest Income

Income earned from the lending of funds or depositing funds in interest-bearing accounts.

Interest Expense

The cost incurred by an entity for borrowed funds, often recognized in financial statements as a non-operating expense.