Question

The GASB requires governments to present budgetary comparisons in their external annual financial statements (either as an additional financial statement or as schedules in required supplementary information). What does the GASB require these statements/schedules to include

Answer 1

The GASB requires these statements/schedules to include:

1. budgetary comparisons for the activities that are reported in the general fund and each major special revenue fund.

2. schedules showing the original budget, the final appropriations budget, and actual inflows, outflows, and balances on a budgetary basis.

Step-by-step explanation:

The purpose of GASB section 34 is to improve the financial transparency of state and local governments' fiscal reports. It also increases governmental accountability, making it possible for citizens to participate in deciding operating budgets of their states and local governments.