12. When the federal government finances a deficit, the government may: A) lower taxes. B) increase spending. C) reduce interest rates. D) borrow funds.
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- Q9) Monetary policy is ✅a)the management of the money supply and interest rates. b) involves decisions about government spending and taxation. c)the excess of expenditures over revenues for a particular year d) is the excess of revenues over expenditures for a particular yearWhat does deficit spending require a government to do?What is a federal deficit? How is it managed?
- When a government lowers taxes it is employing ________. A) fiscal policy B) monetary policy C) domestic policy D) the law of one priceHow does the federal government finance and service it outstanding debt?Social Security represents a large portion of the Federal budget, so it is often looked at as a candidate for revision by Congress. a) True b) False
- Select all the true statements from the following pool of statements: A - Tax, being one of the indispensable inherent powers, is the government's primary source of revenue. B - Generally, government revenues arising from exchange transactions are measured at face amount of the cash consideration received. C- For revenues that are long-term and deferred in nature, the revenue is measured at present value. D- Taxes are enforced payments by any taxable subjects, in support of government for its fiscal purpose. Taxes, being comprehensive in nature, may include fines, fees and penalties. E- Generally, payments made to the government in the form of checks are not allowed.1. In many cases, property taxes comprise a significant source of revenue and cash receipts for a government. If prperty tax cash colletions typically occur during one or two collection periods, how do governments manage working capital needs? 2. while governments are not required to issue interim financial reports, what role does interim financial reporting play in local government administration?Q1) 4) How governments utilize the special revenue fund?5) Mention two differences between the receipt and payment account and the cash book?
- 4) How fund structures and financial reports of not-for profit differ from those of governments?Ch3 7. Which of the following would always be classified as a general revenue? Multiple Choice Grant proceeds. Special assessment charges for snow removal. Library fines. Fuel taxes earmarked for maintenance of roads and bridges. 8. According to GASB standards, which of the following is not classified as a budgetary account? Multiple Choice Encumbrances. Encumbrances Outstanding. Estimated Revenues. Appropriations.39. The receipt of which of the following may not give rise to the revenue by a government entity? Notice of Cash Allocation Tax Remittance Advice Subsidy from another Government entity Inter-agency fund transfer