[itooshallpass]

Maybe I’m completely misunderstanding this aspect of gov’t accounting, but… Can funds have funds? For example might a motor pool internal service fund have its own capital projects fund?
Just curious…

[Ana]

No (I'm no expert but going off what I learned from Becker)

[Anonymous]

No, man – it's either internal service fund or capital projects fund or some other fund, they cannot be included in each other

[jgod]

I think you need to step back and understand funds on a more conceptual level.

Government accounting is all about accountability. If a government says they’re going to spend money on building a school, they need to keep track of every last penny spent on the school. That’s what the different government funds are for.

Also a capital project fund and an internal service fund use different bases of accounting. A motor pool would have no need for a capital projects fund because they use the regular accrual accounting that businesses use.

With government accounting it’s easy to get lost in the weeds with all of the different financial statements and journal entries used. Step back, get a better feel for the broader concepts, then you’ll be able understand the minutia a lot easier. That’s what worked for me. Hope that helps.

AUD- 99 (6/8/16)
REG- TBD
FAR- TBD
BEC- TBD

[Anonymous]

I feel like Gov't fund accounting is a lot more like the Audit Transaction cycles. I find myself thinking “logically, this is the correct answer” and getting it wrong. In my opinion, and in my experience, when it comes to the gov't fund accounting, you need to do questions on questions on questions. When you get them wrong, understand WHY you got it wrong and why the other options are wrong. This will help you test day!

[Author]

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