Multiple Choice Questions1. Taxes levied in the Debt Service Fund and due in the current fiscal year

Multiple Choice Questions1. Taxes levied in the Debt Service Fund and due in the current fiscal year

Multiple Choice Questions1. Taxes levied in the Debt Service Fund and due in the current fiscal year include $125,000 that is not expected to be collected within the first 60 days of the new fiscal year. As of the end of the current fiscal year, this amount would be reported asa. Revenue.b. A liability.c. A deferred inflow of resources.d. An other financing source.Questions 2 through 5 are based on the following scenario:A governmental entity levied $1,000,000 in special assessments. The assessments are due and payable in equal installments at the beginning of each fiscal year for the next five years. Assume that all installments are collected in the year they are due.2. At the time of the levy (which is 10 months before the first installment comes due in the middle of the next fiscal year), the Special Assessment Debt Service Fund would report revenue in the amount ofa. $1,000,000.b. $800,000.c. $200,000.d. $0.3. As of the end of the fiscal year in which the levy was made, the Special Assessment Debt Service Fund would report deferred inflows of resources in the amount ofa. $1,000,000.b. $800,000.c. $200,000.d. $0.4. As of the end of the fiscal year in which the first installment is due and collected, the Special Assessment Debt Service Fund would report revenue in the amount ofa. $1,000,000.b. $800,000.c. $200,000.d. $0.5. As of the end of the fiscal year in which the first installment is due, the Special Assessment Debt Service Fund would report $800,000 asa. Revenues.b. Liabilities.c. Deferred inflows of resources.d. Deferred outflows of resources.6. The General Fund transferred $700,000 to a Debt Service Fund. The Debt Service Fund would report this transaction asa. An other financing source.b. A revenue.c. A deferred inflow of resources.d. Contributed capital.Questions 7 through 9 are based on the following scenario:A government is making debt service payments of $200,000 every six months, beginning in fiscal year 20Y1, and continuing for 5 years. The government’s General Fund transfers $200,000 in fiscal year 20Y0 to the Debt Service Fund. The transfer is made 10 days before the end of the fiscal year. However, the debt service payments that the transfer was made to finance are not due until 15 days into the new fiscal year (20Y1).7. The minimum amount of debt service expenditures for 20Y0 that may be reported in the Debt Service Fund isa. $0.b. $200,000.c. $400,000.d. $2,000,000.8. The government could opt to report debt service expenditures for 20Y0 ofa. $183,333.b. $200,000.c. $400,000.d. $2,000,000.9. Assuming that (1) the Debt Service Fund did not exercise the early recognition option and (2) the resources of the fund are not restricted, at least $200,000 of the fund balance as of the end of fiscal year 20Y0 should be classified asa. Nonspendable.b. Committed.c. Assigned.d. Unassigned.10. If a Debt Service Fund issues bonds at a premium, the premium is reported on the operating statement asa. A revenue.b. A nonoperating revenue.c. An other financing source.d. An other financing use.View Solution:
Multiple Choice Questions 1 Taxes levied in the Debt Service

Looking for a similar assignment? Get help from our qualified experts!

Order Now

Related Posts