acct test 3b

• agency fund
• private purpose trust fund
• investment trust fund
• pension trust fund or other employee benefit trust fund

accounts for assets that are held for individuals, organizations or other governments - indefinate term while assets are collected or held

trust fund that accounts for assets contributed to the government that stipulates that the income, principal or both be used to benefit individuals, organizations or other governments

accounts for assets held & invested on behalf of other governments in multi-govt investment pool in which reporting government is the sponser

accounts for assets held & invested on behalf of government employee pension or other benefit plan in which reporting government acts as trustee

• by themselves not on government wide statements
• use the economic & accrual basis of accounting
• report using the statement of ficuciary net assets & statement of change of fiduciary net assets

• assets are offset by liabilities
• assets recognized when govt becomes agent
• tax levies

accrual metohd of accounting on economic basis

state govt obtains property with no legal claimant or heir; was abondoned or legal owners are un findable and turned over to state govt until legal owner can be found

accrual accounting method with economic resources focus

• move expenditures for capital outlays to capital asset
• enter depreciation expense & accumulated depreciation
• move proceeds sale of capital assets to capital assets net & gain/loss for assets
• move long term other financing sources to bonds payable & premium on bonds amortization of bond premium and move expenditure to bonds payable
• recognize revenues when not recognized rules
• recognize compensating abences

• may use straight line, sum of the digits or declining balance
• useful life may be estimated from general guidlines from professional or industry orgs, info for comparable assets or internal info

with the governmental funds

required for voluntary health & welfare organizations

the contributions are recorded as temporarily restricted net assets until such time as they purpose, restrictions or conditions are met

• unrestircted
• temporarily restricted
• permanently restricted

ratio of program service expense to total expense also called program expense ratio

same as business except has net assets instead of equity

when the pledge is made at present value of the pledge net of an allowance for estimated uncollectibles

Conditional pledges may be recognized as revenue when the condition of the pledge has been completed

contributions can recocognized as revenues when pledged as temporarily revenues and then unrestricted when the condition for the revenue has been met