Accounting for Governmental and Nonprofit Entities+Chapter+1+Solutions教程.docVIP

CHAPTER 1: INTRODUCTION TO ACCOUNTING AND FINANCIAL REPORTING FOR GOVERNMENTAL AND NOT-FOR-PROFIT ENTITIES Answers to Questions 1-1. FASB Statement of Financial Accounting Concepts No. 4 notes three unique characteristics that distinguish governments and not-for-profit organizations (NFPs) from business entities: a. Receipts of significant amounts of resources from resource providers who do not expect to receive either repayment or economic benefits proportionate to the resources provided. b. Operating purposes other than to make a profit. c. Absence of defined ownership interests. Item a