Government Revenues: Recognition and Measurement

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Which of the following best defines revenue?

The net inflow of economic benefits or service potential during the reporting period when those inflow result in an increase in equity

The gross outflow of economic benefits or service potential during the reporting period

The gross inflow of economic benefits or service potential during the reporting period when those inflow result in an increase in equity (correct)

The net inflow of economic benefits or service potential during the reporting period

According to the fundamental principles for revenue, where should all revenues of an entity be remitted?

To the General Fund of the National Government (correct)

To the entity's own account

To a separate account designated by the entity

To the Special Fiduciary or Trust Funds

When should receipts be recorded as revenue of Special Fiduciary or Trust Funds, or Funds other than the General Fund?

When authorized by law (correct)

At the discretion of the collecting officer

When requested by the entity's management

When deemed necessary for operational purposes

What action should a collecting officer take upon collecting a payment of any nature?

Immediately issue an official receipt (OR) (D) Signup and view all the answers

What is the general rule regarding amounts received in trust and from business-type activities of the government?

They may be separately recorded and disbursed in accordance with relevant rules (D) Signup and view all the answers

What is the gross inflow of economic benefits or service potential during the reporting period when those inflow result in an increase in equity, other than increases relating to contributions from owners?

Revenue (A) Signup and view all the answers

Where should all revenues of an entity be remitted, unless another law specifically allows otherwise?

General Fund of the National Government (B) Signup and view all the answers

What should a collecting officer immediately issue upon collecting a payment of any nature?

Official Receipt (OR) (C) Signup and view all the answers

According to the fundamental principles for revenue, where should amounts received in trust and from business-type activities of the government be separately recorded and disbursed?

Trust Funds (A) Signup and view all the answers

What is the general rule regarding moneys and property received by a public officer, acting in any capacity or upon any occasion?

Shall be accounted for as government funds and government property (B) Signup and view all the answers

Which of the following is NOT a fundamental principle for revenue?

Receipts shall be recorded as revenue of Special Fiduciary or Trust Funds, or Funds other than the General Fund only when authorized by law. (A) Signup and view all the answers

What is the definition of revenue according to the given text?

The gross inflow of economic benefits or service potential during the reporting period when those inflow result in an increase in equity, other than increases relating to contributions from owners. (B) Signup and view all the answers

What is the rule regarding the recording of receipts as revenue of Special Fiduciary or Trust Funds, or Funds other than the General Fund?

Receipts shall be recorded as revenue of Special Fiduciary or Trust Funds, or Funds other than the General Fund only when authorized by law. (B) Signup and view all the answers

According to the given text, what should a collecting officer immediately issue upon collecting a payment of any nature?

An official receipt (OR) (A) Signup and view all the answers

Where should all moneys and property received by a public officer, acting in any capacity or upon any occasion, be accounted for according to the given text?

As government funds and government property (A) Signup and view all the answers

Government Revenues: Recognition and Measurement

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