Since neither governmental nor not-for-profit entities have investors,the financial reporting objectives are the same for both types of entities.

Question

Quizplus · Accepted Answer

While there may be some overlap in financial reporting objectives for governmental and not-for-profit entities, there are also some significant differences. Not-for-profit entities often focus on demonstrating accountability to donors and other stakeholders, while governmental entities are accountable to taxpayers and may have reporting requirements mandated by legislation. Additionally, not-for-profit entities may have different revenue recognition and expense allocation standards than governmental entities.

Since Neither Governmental nor Not-For-Profit Entities Have Investors,the Financial Reporting