1–2 Identify and describe the five environmental differences between govern- ments and for-profit business enterprises as identified in the Governmental
Accounting Standards Board’s Why Governmental Accounting and Financial
Reporting Is—and Should Be—Different.
1–3 Identify and briefly describe the three organizations that set standards for state and local governments, the federal government, and nongovernmental not- for-profit organizations.
1–4 What is the definition of a government as agreed upon by the FASB and
GASB?
1–5 Describe the “hierarchy of GAAP” for state and local governments, the federal government, and nongovernmental not-for-profit organizations.
1–6 Accounting and financial reporting for state and local governments use, in different places, either the economic resources measurement focus and the accrual basis of accounting or the current financial resources measurement focus and the modified accrual basis of accounting. Discuss the differences in measurement focus and basis of accounting related to ( a ) the conceptual differences, ( b ) differences in revenue recognition, ( c ) differences in expense/ expenditure recognition, ( d ) differences in recognition of fixed assets, and
( e ) differences in the recording of long-term debt.
1–7 Distinguish between private and public sector organization.
1–8 GASB considers budgetary accounting and reporting to be important. List the principles outlined by GASB related to budgetary accounting and reporting.
1–9 Go to the GASB website (www.gasb.org). What is the mission of GASB?
1–10 For each of the items below, identify which fund(s) would be used to account for the item and provide a justification for your answer. a. A city government issued general obligation bonds to finance the construction of a new jail. b. A tax of $1.00 per