GASB Requires a Reconciliation from Governmental Fund Financial Statements to the Government-Wide

question 16

True/False

GASB requires a reconciliation from governmental fund financial statements to the government-wide statements governmental-activities columns from modified accrual accounting to accrual accounting.

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Definitions:

Petty Cash Fund

A petty cash fund is a small amount of cash on hand used for paying expenses too small to merit writing a check.

Cash Short

A situation where the actual cash on hand is less than the expected amount, usually identified during cash reconciliation.

Journal Entry

An entry made in a journal that records a specific financial transaction, including amounts, accounts affected, and a description.

Control Procedures

These are policies and practices that organizations put in place to ensure the integrity of their financial and accounting information and to prevent fraud.