Valid GAFRB Test Duration - GAFRB Guaranteed Passing
2025 Latest Prep4sureExam GAFRB PDF Dumps and GAFRB Exam Engine Free Share: https://drive.google.com/open?id=1ghdVHJ-qzVCIs6Tbu5jXDIgbvCnBaIEd
Thousands of people are interested in earning the Examination 2: Governmental Accounting, Financial Reporting and Budgeting (GAFRB) (GAFRB) certification exam because it comes with multiple career benefits. Prep4sureExam have designed a product that contains the GAFRB latest questions. These AGA GAFRB Exam Dumps are ideal for applicants who have a short time and want to clear the Examination 2: Governmental Accounting, Financial Reporting and Budgeting (GAFRB) (GAFRB) exam for the betterment of their future.
AGA GAFRB Exam Syllabus Topics:
Topic
Details
Topic 1
Topic 2
Topic 3
>> Valid GAFRB Test Duration <<
100% Pass-Rate Valid GAFRB Test Duration Help You to Get Acquainted with Real GAFRB Exam Simulation
As we know that if you have an outstanding certification you will have more opportunities for application and promotion, many companies think highly of golden certifications, it will be a step-stone to some great positions. Our website Prep4sureExam is engaging in providing high-pass-rate GAFRB Exam Guide torrent to help candidates clear GAFRB exam easily and obtain certifications as soon as possible. We are engaging in this line more than 8 years on the GAFRB exam questions. Thousands of candidates choose us and achieve their goal every year.
AGA Examination 2: Governmental Accounting, Financial Reporting and Budgeting (GAFRB) Sample Questions (Q80-Q85):
NEW QUESTION # 80
A county is projecting a $7 million budget deficit in the upcoming fiscal year, so the county board, who acts as the highest level of authority for the county, sets aside $7 million in fund balance to close this gap. How should the $7 million be classified on the financial statement?
Answer: B
Explanation:
A committed fund balance is established when the highest level of decision-making authority (e.g., county board or city council) formally sets aside resources for a specific purpose through resolution or ordinance before the end of the fiscal year.
Since the county board - the highest authority - has set aside $7 million specifically to address a projected budget deficit, the classification should be committed fund balance.
Assigned fund balance (Option B) is typically used when intent is expressed by a lower level of authority (e.
g., finance director).
Relevant References:
GASB Statement No. 54 - Fund Balance Reporting
GASB Codification Section 1800.176 - Fund Balance Classifications
GFOA Guidance on Fund Balance Policies
D). Committed Fund Balance
NEW QUESTION # 81
A specific operation of the government is funded by 60% from the general fund, 40% from specific revenues.
This should be reported in which fund?
Answer: A
Explanation:
A special revenue fund is used to account for the proceeds of specific revenue sources that are restricted or committed to expenditure for specified purposes (other than debt service or capital projects). In this case, 40% of the operation is funded by specific revenues, which triggers the use of a special revenue fund, provided those revenues are legally restricted or committed to the operation.
Even though 60% of the funding comes from the general fund, the existence of a dedicated revenue stream (40%) for a specific purpose qualifies it for reporting in a special revenue fund.
Relevant References:
GASB Statement No. 54 - Fund Balance Reporting and Governmental Fund Type Definitions GASB Codification Section 1300 - Fund Types GFOA - Fund Structure Guidance B). special revenue fund
########################
NEW QUESTION # 82
A state grant will reimburse a city for 40% of the architectural, construction and project management costs to build an annex to a city building. A city employee, who is paid salary and benefits of 510,000 a month, works half-time on the project for six months.
The city reports the following project budgeted and actual costs:
Purpose Budget Actual
Architectural fees $ 100.000 $ 90,000
Construction costs $10,500,000 $10,000,000
Based upon the above information, what is the amount of allowable costs that the state will reimburse the city on the grant?
Answer: A
Explanation:
First, we calculate total eligible project costs:
Eligible categories (architectural, construction, project management):
Architectural (actual): $90,000
Construction (actual): $10,000,000
Project management (city employee at 50% time for 6 months):
$10,000/month × 6 months × 50% = $30,000
Total eligible cost = $90,000 + $10,000,000 + $30,000 = $10,120,000
State reimburses 40% of eligible cost:
0.40 × $10,120,000 = $4,048,000
Relevant References:
OMB Uniform Guidance (2 CFR § 200) - Cost Principles
GFOA Best Practices - Grant Compliance
State grant agreements outlining cost-sharing requirements
A). $4,048,000
NEW QUESTION # 83
Which of the following events is an example of an expenditure but not an expense?
Answer: B
Explanation:
Comprehensive Detailed Explanation:
In governmental funds (using the modified accrual basis), expenditures are recorded when financial resources are used - typically when cash is disbursed. However, in government-wide statements (accrual basis), only the portion of the asset's cost consumed in the period is recorded as an expense (i.e., depreciation).
Paying for capital assets such as vehicles is an expenditure in the governmental funds, but not an expense in the accrual-based government-wide financials. Instead, the cost is capitalized and depreciated over time.
Relevant References:
GASB Statement No. 34 - Government-wide vs. Fund Financial Reporting
GASB Codification Section 1300 - Modified Accrual Accounting
GFOA Best Practices - Capital Asset Reporting
C). At the end of the fiscal year, the government pays for ten vehicles which will be depreciated over five years.
NEW QUESTION # 84
Which one of the following statements is true with regard to external reporting of major funds for state and local governments?
Answer: C
Explanation:
GASB Statement No. 34 provides the criteria for determining major funds, primarily based on quantitative thresholds (e.g., 10% of total assets, liabilities, revenues, or expenditures/expenses).
However, GASB also allows management to designate any governmental or enterprise fund as a major fund if, in its judgment, it is particularly important to users of the financial statements-even if it doesn't meet the quantitative criteria.
Other options are incorrect:
The general fund is always presented as a major fund regardless of criteria.
Internal service funds are never reported as major funds in the fund financial statements.
Relevant References:
GASB Statement No. 34 - Paragraph 76
GASB Codification Section 2200 - Fund Reporting Requirements
GFOA ACFR Preparation Guide
C). Management can elect to present any governmental or enterprise fund as a major fund
NEW QUESTION # 85
......
Prep4sureExam's AGA GAFRB exam training materials is the best training materials. If you are an IT staff, it will be your indispensable training materials. Do not take your future betting on tomorrow. Prep4sureExam's AGA GAFRB exam training materials are absolutely trustworthy. We are dedicated to provide the materials to the world of the candidates who want to participate in IT exam. To get the AGA GAFRB Exam Certification is the goal of many IT people & Network professionals. The pass rate of Prep4sureExam is incredibly high. We are committed to your success.
GAFRB Guaranteed Passing: https://www.prep4sureexam.com/GAFRB-dumps-torrent.html
BONUS!!! Download part of Prep4sureExam GAFRB dumps for free: https://drive.google.com/open?id=1ghdVHJ-qzVCIs6Tbu5jXDIgbvCnBaIEd