16 Questions
What is the main objective of public sector accounting related to determining the legitimacy of transactions?
Compliance with statutes and accepted norms
What is the key responsibility related to evidence of stewardship in public sector accounting?
Rendering stewardship transparently and diligently for entrusted resources
How does strategic planning help prevent corporate failure according to the text?
By mapping out strategic plans to prevent or reduce corporate failure
What theory of governance should public sector establishments act in accordance with?
Mandate theory
What are the adjuncts to skillful planning mentioned in the text?
Control measures
What is the purpose of control measures in public sector accounting?
To avoid unnecessary deviations from the pursuit of original objectives
What are the anxieties of users of public sector accounting information?
They are anxious to bridge their knowledge gaps on government activities.
What do users of public sector accounting information treasure?
Prompt and accurate statistics to evaluate government performance.
Why is it difficult to measure costs and benefits in financial terms in public sector organisations?
It is difficult to measure costs and benefits in financial terms due to the nature of public sector activities.
What does the analysis of cost-benefit assess?
The economic and social advantages (benefits) and disadvantages or inconveniences (costs) of alternative courses of actions.
What does the cost-benefit analysis ensure in public sector organisations?
It ensures that the welfare of the citizens is well provided for.
What are some of the objectives related to public sector accounting information?
Enhancing the appraisal of the efficiency of management, highlighting revenue and expenditure, identifying funding sources for capital projects, evaluating economy, efficiency, and effectiveness, ensuring equivalent benefits for costs, providing details of long-term commitments and financial obligations, comparing actual performance with set targets, and proffering solutions to bottlenecks or problems identified.
What does public sector accounting information aim to provide the basis for?
Decision-making.
What do users of public sector accounting information aim to bridge?
Their knowledge gaps on government activities.
What do public sector organisations find difficult to measure in financial terms?
Costs and benefits.
What does the analysis of cost-benefit assess in public sector organisations?
The economic and social advantages and disadvantages of alternative courses of actions.
Test your knowledge of the main objectives of public sector accounting including determining the legitimacy of transactions, compliance with statutes and accepted norms, and providing evidence of stewardship. This quiz covers the foundational objectives of accounting in the public sector.
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