The accounting system used by a state or local government must make it possible
A) To present fairly the financial position and results of financial operations of the government as a whole,as well as fund financial activity in conformity with GAAP.
B) To prepare financial statements as required by the Financial Accounting Standards Board.
C) To prepare consolidated accrual basis statements for the government as a whole.
D) To provide Web-based bond offering statements to investment firms.

Question

Quizplus · Accepted Answer

The accounting system for a state or local government must be in compliance with Generally Accepted Accounting Principles (GAAP) and should provide a fair presentation of the financial position and the results of the financial operations of the government as a whole and fund financial activity. Other options mentioned in the choices such as preparing financial statements required by the Financial Accounting Standards Board or providing web-based bond offering statements are not the primary objectives of the accounting system for a state or local government.

The Accounting System Used by a State or Local Government