Accounting Questions
Accounting Questions California State University Northridge Accounting 475 Spring 2022 Homework 1 Question 8
8. The primary emphasis in accounting and reporting for governmental funds is on
A. Source, use, and balance of current financial resources
B. Income Determination
C. Capital maintenance
D. Transfers relating to proprietary activities
Answer
A. Source, use, and balance of current financial resources
Explanation.
The measurement focus prescribed by GASB standards for all governmental funds is the “flow of current financial resources” focus which measures sources, uses, and balances of current financial resources.