Question

The governmental activities column of the government wide statement of net assets differs from the General Fund BS in that it reports both CA, non CA, CL, and non CL, reports financial information for all govtal funds not just the general fund, reports net assets rather than fund balances

a.True
b.False

Answer 1

The statement is True. The government-wide statement of net assets indeed reports on both current and non-current assets and liabilities, includes information for all governmental funds, and presents net assets instead of fund balances.

Step-by-step explanation:

The statement in question pertains to the differences between the government-wide statement of net assets and the General Fund balance sheet (BS) in governmental accounting. The correct response is True. The government-wide statement of net assets differs from the General Fund BS in several key aspects:

• It reports both current assets (CA) and non-current assets (non-CA), as well as current liabilities (CL) and non-current liabilities (non-CL).
• It includes financial information for all governmental funds, not just the General Fund.
• It presents net assets instead of fund balances, thus showing the broader financial position of the government entity.

This is in contrast to the General Fund balance sheet, which typically focuses on current financial resources and places emphasis on fund balances rather than the overall net assets position.