40) The operation of a municipality’ s recreation facilities and sites such as ball fields, gymnasiums, and tracks are most likely to be accounted for in a
1. |
capital projects fund |
2. |
internal service fund |
3. |
general fund |
4. |
enterprise fund |
41) A municipality operates a local landfill. How could the landfill facility’ s operations be reported in the municipality’ s financial statements?
1. |
only in an enterprise fund |
2. |
either in the general fund or a capital projects fund |
3. |
either in the general fund or an enterprise fund |
4. |
only in a general fund |
42) A computer was purchased from unrestricted resources for a general government department. The government paid cash for the computer at the purchase date. Which of the following is not an effect of this transaction in the General Fund?
1. |
Current liabilities do not change. |
2. |
Fund balance decreases. |
3. |
Current assets decrease. |
4. |
Capital assets increase. |
43) If an expenditure was inadvertently charged to the General Fund instead of the appropriate Special Revenue Fund, what effect would the correction of this error later in the same fiscal year have on the General Fund?
1. |
Expenditures would be decreased. |
2. |
Transfers in would be increased. |