At first glance, the government-wide statement of activities bears little resemblance to the income statement of a business.

Question

Quizplus · Accepted Answer

The government-wide statement of activities is designed to display the overall financial results of a government's operations in a manner similar to a business's income statement, but it uses a different format that focuses on net expenses/revenues for each function or program, rather than listing revenues and expenses like a traditional income statement. This difference in format and focus can make it seem quite dissimilar at first glance.

At First Glance, the Government-Wide Statement of Activities Bears Little