Accounting For Governmental & Nonprofit Entities
18th Edition
ISBN: 9781259917059
Author: RECK, Jacqueline L., Lowensohn, Suzanne L., NEELY, Daniel G.
Publisher: Mcgraw-hill Education,
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Question
Chapter 11, Problem 22EP
a.
To determine
Indicate the programs that could be classified as Type A programs and Type B programs, based on the size.
b.
To determine
Indicate the programs that could be classified as low-risk Type A programs or high-risk Type B programs.
c.
To determine
Indicate the programs that could be selected for audit, if County C is not considered as a low-risk auditee, and provide reasons.
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Students have asked these similar questions
An independent CPA is engaged to audit the financial statements of Holland City . The city has a variety of revenue sources including a $350,000 grant from the U.S. Department of Housing and Urban Development. Which of the following audit standards must the CPA use when conducting the audit?
The AICPA audit standards.
The GAO audit standards.
The OMB audit standards.
All of the standards listed in the choices.
C) In audits of state and local government units which of the following sections are not required in the auditor's report for a GAAS audit?
Group of answer choices
1: Responsibilities of Management for the Financial Statements.
2: Auditor’s Responsibilities for the Audit of the Financial Statements.
3: Report on Waste and Abuse.
4: Basis for Opinion.
Which of the following is true about the management’s discussion and analysis (MD&A)?
It is an optional addition to the comprehensive annual financial report, but the GASB encourages its inclusion.
It adds a verbal explanation for the numbers and trends presented in the financial statements.
It appears at the very end of a government’s comprehensive annual financial report.
It replaces a portion of the fund financial statements traditionally presented by a state or local government.
Chapter 11 Solutions
Accounting For Governmental & Nonprofit Entities
Ch. 11 - Prob. 1QCh. 11 - Prob. 2QCh. 11 - Prob. 3QCh. 11 - Prob. 4QCh. 11 - Prob. 5QCh. 11 - Prob. 6QCh. 11 - Prob. 7QCh. 11 - Prob. 8QCh. 11 - Prob. 9QCh. 11 - Prob. 10Q
Ch. 11 - Background. Lake View Mental Health Affiliates, a...Ch. 11 - Prob. 12CCh. 11 - Prob. 14CCh. 11 - Custer County receives pass through funds from the...Ch. 11 - Prob. 16CCh. 11 - The city council members of Laurel City are...Ch. 11 - Prob. 19.1EPCh. 11 - Prob. 19.2EPCh. 11 - Prob. 19.3EPCh. 11 - Prob. 19.4EPCh. 11 - Prob. 19.5EPCh. 11 - Prob. 19.6EPCh. 11 - Prob. 19.7EPCh. 11 - Prob. 19.8EPCh. 11 - Dan Cole is the head of the countys Division of...Ch. 11 - Prob. 19.10EPCh. 11 - Prob. 19.11EPCh. 11 - Prob. 19.12EPCh. 11 - Prob. 19.13EPCh. 11 - Prob. 21EPCh. 11 - Prob. 22EPCh. 11 - Prob. 23EPCh. 11 - Prob. 24EPCh. 11 - Prob. 25EP
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- Choose the correct. Which of the following is true about the management’s discussion and analysis (MD&A)?a. It is an optional addition to the comprehensive annual financial report, but the GASB encourages its inclusion.b. It adds a verbal explanation for the numbers and trends presented in the financial statements.c. It appears at the very end of a government’s comprehensive annual financial report.d. It replaces a portion of the fund financial statements traditionally presented by a state or local government.arrow_forwardForest City has recently implemented GAAP reporting and is attempting to determine which of the following special revenue funds should be classified as “major funds” and, therefore, be reported in separate columns on the balance sheet and statement of revenues, expenditures, and changes in fund balances for the governmental funds. As the city’s external auditor, you have been asked to provide a rationale for either including or excluding each of the following funds as a major fund. Determine which of the following funds should be reported as a major fund.arrow_forwardThe accountants for a city are attempting to determine the proper reporting for a new transaction so that the financial statements are in conformity with generally accepted accounting principles. No authoritative answer can be found. What should happen next? The city will receive a qualified audit report on its financial statements. The accountants can report the transaction in the way that they believe is best. The accountants should study other nonauthoritative sources such as GASB Concepts Statements and the official standards produced by FASB. The city will separate the transaction and report it separately in such a way as to draw attention to the method of reporting that was followed.arrow_forward
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- Matt Gunlock, CPA, is performing an audit of the City of Ryan in accordance with AICPA generally accepted auditing standards. Required: a. Must Matt be concerned with the city’s compliance with laws and regulations? Explain. b. How should Matt decide on the nature and extent of the tests of compliance that should be performed in the audit?arrow_forwardThe Office of the Auditor General is mandated to conduct audits of all public institutions inJamaica. It has been observed that the same observations and recommendations weremade in the last five years in the Auditor General’s Reports concerning increased misuseand misapplication of public funds.The Ministry responsible for local government has decided to engage a consultants firmto review the transparency and accountability of the public funds by the council.The lead consultant in your firm has asked you to conduct this review. The following werefound during your review:• The main source of funds for the Council are the grants received from the centralgovernment and levies from local businesses operating in the parish.• The Council maintains financial records and prepares financial statements annuallywhich are subject to audit by the Office of the Auditor General.• The Council received a grant of US$20 million for the construction of ten communitycenters, one each in the ten…arrow_forwardWhat are the signals of the financial distress that we can look for in the Annual Comprehensive Financial Report of the County?arrow_forward
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