On what should the governmental fund financial statements report?
A) Net position and results of financial operations of the government as a whole.
B) Fiscal accountability.
C) Operational accountability.
D) Cost of government services.

Question

Quizplus · Accepted Answer

Governmental fund financial statements should report on fiscal accountability, meaning they should provide information on how the government raised and spent money in accordance with legal requirements and budgetary constraints. This includes information on the sources and uses of funds, as well as balances and changes in fund balances. The other choices may be important for other financial statements or reports, but are not specifically required for governmental fund financial statements.

On What Should the Governmental Fund Financial Statements Report