Deriving Government-Wide Financial Statements and Reconciliation Requirements

Free CPA BAR (Business Analysis & Reporting) lesson in State and Local Governments. 18 min read, ~2,644 words.

Governmental funds use modified accrual (current financial resources); government-wide statements use full accrual (economic resources). Capital outlays are expenditures in fund statements but capitalized assets in government-wide; add the depreciation adjustment that funds never record. Bond proceeds are other financing sources in funds but a liability in government-wide; principal payments...

What this lesson covers

• Content
• Example 1
• Example 2
• Common Mistakes
• Check Your Understanding
• Exam Shortcuts

Learning objectives

• III.B1

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