Users of government financial statements should be interested in information about compliance with laws and regulations for which of the following reasons?
A)To determine if the entity has complied with bond covenants.
B)To determine if the entity has complied with taxing limitations.
C)To determine if the entity has complied with donor restrictions on the use of funds.
D)To determine all of the above.

Question

Quizplus · Accepted Answer

Users of government financial statements should be interested in information about compliance with laws and regulations because it helps in determining if the entity has complied with bond covenants, taxing limitations, and donor restrictions on the use of funds. Therefore, Option D is the correct answer.

Users of Government Financial Statements Should Be Interested in Information