MCQ on GASAB

 MCQ on GASAB

 

Question 1

What does GASB stand for?

A) Governmental Accounting Standards Board

B) Generally Accepted Standards of Accounting and Budgeting

C) Governmental Auditing Standards Board

D) General Accounting Standards Board

 

Answer: A) Governmental Accounting Standards Board

 

Question 2

Which of the following is a primary goal of GASB?

A) To establish auditing standards for government entities

B) To promote transparency and accountability in government financial reporting

C) To provide guidance on budgeting and financial planning

D) To regulate the accounting profession

 

Answer: B) To promote transparency and accountability in government financial reporting

 

Question 3

What type of entities does GASB provide guidance for?

A) Private companies

B) Non-profit organizations

C) Governmental entities

D) All of the above

 

Answer: C) Governmental entities

 

Question 4

Which of the following is a key concept in GASB standards?

A) Matching principle

B) Materiality

C) Fund accounting

D) All of the above

 

Answer: D) All of the above

 

Question 5

Who is responsible for enforcing GASB standards?

A) Federal government

B) State governments

C) GASB itself

D) Financial Accounting Standards Board (FASB)

 

Answer: A) Federal government

 

Question 6

What is the primary purpose of GASB Statement No. 34?

A) To establish accounting standards for private companies

B) To provide guidance on financial reporting for governmental entities

C) To regulate auditing standards for non-profit organizations

D) To promote transparency in financial reporting for government entities

 

Answer: B) To provide guidance on financial reporting for governmental entities

 

Question 7

Which of the following is a type of fund accounted for by governmental entities?

A) Private-purpose trust fund

B) Permanent fund

C) Special revenue fund

D) All of the above

 

Answer: D) All of the above

 

Question 8

GASB standards require that governmental entities report which of the following?

 

A) Only current-year financial information

B) Comparative financial information for multiple years

C) Budgetary information in addition to financial statements

D) Only financial information for major funds

 

Answer: B) Comparative financial information for multiple years

 

Question 9

What is the name of the conceptual framework that guides GASB's standard-setting process?

A) Financial Accounting Concepts

B) Governmental Accounting Concepts

C) Concepts Statement

D) Framework for Financial Reporting

 

Answer: D) Framework for Financial Reporting

 

Question 10

Which of the following organizations is responsible for setting auditing standards for governmental entities?

A) GASB

B) FASB

C) GAO

D) AICPA

 

Answer: D) AICPA

 

Question 11

What is the purpose of GASB's Codification of Governmental Accounting and Financial Reporting Standards?

A) To provide guidance on auditing standards

B) To establish accounting standards for non-profit organizations

C) To codify existing GASB standards

D) To regulate financial reporting for private companies

 

Answer: C) To codify existing GASB standards

 

Question 12

Which of the following is a characteristic of fund accounting used by governmental entities?

A) Focus on economic resources

B) Focus on budgetary compliance

C) Use of accrual accounting

D) Use of cash accounting

 

Answer: B) Focus on budgetary compliance

 

Question 13

GASB standards require that governmental entities disclose which of the following?

A) Only financial information

B) Only budgetary information

C) Both financial and budgetary information

D) Neither financial nor budgetary information

 

Answer: C) Both financial and budgetary information

 

Question 14

What is the name of the GASB statement that addresses accounting and financial reporting for postemployment benefits other than pensions?

A) GASB Statement No. 43

B) GASB Statement No. 45

C) GASB Statement No. 68

D) GASB Statement No. 73

 

Answer: B) GASB Statement No. 45

 

Question 15

Which of the following is a key objective of GASB's financial reporting model?

A) To provide information for budgetary decision-making

B) To provide information for economic decision-making

C) To provide information for regulatory compliance

D) To provide information for financial statement analysis

 

Answer: B) To provide information for economic decision-making