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Enterprise Funds
GAAP requires state and local governments to use the enterprise fund type to account for "business-type activities" - activities similar to those found in the private sector. Business type activities include services primarily funded through user charges.
NCGAS 1 (National Council on Governmental Accounting Statement No 1)defines the purpose of enterprise funds as:
"…to account for operations (a) that are financed and operated in a manner similar to private business enterprises -where the intent of the governing body is that the costs (expenses, including depreciation) of providing goods or services to the general public on a continuing basis be financed or recovered primarily through users charges; or (b) where the governing body has decided that periodic determination of revenues earned, expenses incurred, and/or net income is appropriate for capital maintenance, public policy, management control, accountability, or other purposes."
State and local governments should use an enterprise fund to account for its activities when the criteria of either (a) or (b) are met. Moreover, it is important to note that the total cost of the activity does not have to be paid for by the user charges. The government (or other governmental entity) may subsidize a significant portion of the costs of the enterprise fund.
What else can I help you with?
What did Americans want their government to do to help free enterprise?
ya bish
How did the Revenue Act of 1935 bring in more government funds?
The Revenue Act of 1935 brought in more government funds by raising the tax rate on wealthy people and on corporations.
What was the most critical problem facing the new government?
The most critical problem facing the new government was the lack of funds. The national treasury had no money and congress had the ability to raise thr funds through taxes.
Which region of the country received most government funds per capita from New Deal Programs?
The region of the country that received most government funds per capita from New Deal Programs was North Carolina .
Six reasons that the government has taken steps to limit private enterprise are?
Money n power
It is desirable to operate enterprise funds at a profit?
Unlike the service funds, it is frequently desirable for enterprise funds to operate at a profit (increase in net assets). Like commercial business, operating profits are necessary to establish adequate working capital, provide for expansion of physical activities, and retire debt. Additionally, governments may find it desirable to use enterprise fund profits to support general government expenditures that would otherwise require increased taxes.
Can I Apply For More Than One Government Loan Application For My Business Enterprise?
Sure, you can apply for all the government funding applications for that you meet the requirements. However, a small percent of government fundingprograms prevent applicants from getting funds from other applications.
Is America a private enterprise?
No, the United States of America is a government, or public enterprise.
Who funds hezbollah?
Well, the American Government funds Hezbollah
Who funds PBS?
Government
Who funds the ADA?
government
Why has the free enterprise system been modified to include some government intervention?
It is a Free Enterprise System, but has some slight government involvement.
How was the MIT enterprise forum?
the government formed it.
Which is the biggest enterprise of the government of India?
railway
Congress has the ability to appropriate funds to be spent by the federal government.?
Congress has the ability to appropriate funds to be spent by the federal government.
Who funds TRICARE?
federal government.
Who funds the CHRO in Connecticut?
the Government
