Final answer:
The FASAB is indeed responsible for recommending accounting principles and standards for the U.S. federal government. Federal spending has grown substantially, with personal income taxes constituting the main revenue source. Defense spending figures and the size of government at various levels are subject to debate and analysis, with education typically funded more by state and local levels and foreign aid being a small portion of federal spending.
Step-by-step explanation:
The statement 'The Federal Accounting Standard Advisory Board (FASAB) recommends accounting principles and standards for the federal government and its agencies and departments' is true. The FASAB plays a crucial role in developing and recommending accounting standards and principles to improve the quality of financial reporting by federal entities.
They ensure that financial information is reliable, consistent, and useful for decision-making purposes. Understanding the FASAB's role is important for comprehension of how federal accounting and financial reporting operates in the United States.
Federal spending and tax policies are also critical to discussions of government finance. Federal spending has indeed grown significantly over the years. The revenue of the federal government is primarily generated from personal income taxes.
While federal taxes are a significant portion of the economy, the exact share varies over time. State and local spending has also fluctuated, with some periods experiencing more growth than others. Defense spending and federal expenditures on various services demonstrate the priorities of the federal budget over time.
When it comes to educational spending, the assertion that it is larger at the federal level than at the state and local level is not accurate; typically, state and local governments bear a larger share of education funding. Likewise, foreign aid constitutes a small portion of the federal budget, contrary to public misconception.