FAR | Governmental Accounting

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  • #187953
    Anonymous
    Inactive

    Why is cash inflow from issuing bonds to finance city hall construction considered to be an inflow for governmental fund? Why governmental fund?

    Please help in explaining this to me!!

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  • #588046
    Mjganier
    Participant

    Since it is for construction for the city hall, a governmental entity, the proceeds would go into the Capital Projects fund which is a governmental fund. The Capital Projects fund is the fund used for any type of governmental projects or construction.

    FAR 8/18/2014--87
    AUD 10/18/2014--78
    REG 11/24/2014--76
    BEC 2/28/2015--76

    "If you can't explain it simply, you don't understand it well enough"-Albert Einstein

    Study Mats: Cpaexcel study text and EQ, Ninja MCQ, Ninja notes

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