GFOA CPFO Exam - Topic 4 Question 82 Discussion

Actual exam question for GFOA's CPFO exam

Question #: 82
Topic #: 4

Proprietary and fiduciary funds use the economic resources measurement focus and the accrual basis of accounting. Proprietary funds focus on changes in economic resources, similar to private sector businesses, asking:

AWhat transaction and events have increased the fund's total economic resources during the reporting period, measured by changes in net assets like revenues and expenses?

BWhat transaction and events have decreased he fund's total economic resources during the reporting period, measured by changes in net assets like revenues and expenses?

CWhat transaction and events have increased or decreased he fund's total economic
resources during the reporting period, measured by changes in net assets like revenues and expenses?

DNone of these

Show Suggested Answer

Suggested Answer: D

by An at Mar 09, 2024, 08:44 AM

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Glory

8 months ago

Not sure if I buy that; seems like there's more to it.

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Krissy

8 months ago

I think option C covers everything, right?

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Odette

9 months ago

Wait, are we sure about the accrual basis? Sounds complicated.

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Dorothy

9 months ago

Totally agree, it's all about net assets and changes!

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Marva

9 months ago

Proprietary funds focus on economic resources, just like businesses!

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Kristeen

9 months ago

I vaguely remember that proprietary funds look at net assets, but I’m uncertain if the question is asking for just increases or both. I should have reviewed this more!

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Alfreda

9 months ago

I feel like option A is about increases only, while option B is about decreases. I just can't recall which one is the best fit for the question.

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Jennie

10 months ago

I think option C makes the most sense since it covers both increases and decreases, but I might be mixing it up with another question we practiced.

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Louis

10 months ago

I remember we discussed how proprietary funds are similar to private businesses, but I'm not sure which option focuses on both increases and decreases in economic resources.

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Gianna

10 months ago

I'm a little confused by the wording of the options here. I know proprietary and fiduciary funds use the accrual basis, but I'm not sure I fully understand the nuance of their economic resources measurement focus. I'll have to make an educated guess on this one.

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Virgilio

10 months ago

Hmm, this one has me a bit stumped. I know proprietary and fiduciary funds use the accrual basis, but I'm not totally clear on the difference in their economic resources measurement focus. I'll have to think this through carefully and review my notes before selecting an answer.

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Stephanie

10 months ago

This question is asking about the focus and basis of accounting for proprietary and fiduciary funds, so I'll need to remember the key differences between those fund types. I think the answer is C, since the question is asking about changes in economic resources during the reporting period, which is the focus for both proprietary and fiduciary funds.

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Frank

10 months ago

Okay, I've got this. Proprietary funds focus on changes in economic resources, similar to private businesses, so the right answer is A. The question is asking what the funds are focused on in terms of increases to their total economic resources.

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Adela

10 months ago

Okay, let me review the options. I think the "Access-Control-Allow-Origin" header is the CORS header here.

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Mollie

10 months ago

I'm a bit unsure about the exception stage and whether it should be removed. I'll need to weigh the pros and cons of that approach.

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Nada

10 months ago

I'm a bit unsure, but incorporating the sales team's plan seems less relevant to executive communication.

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Laurel

10 months ago

Wait, I'm not sure about this one. Let me re-read the question and think through the BGP attributes again.

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Valentin

1 year ago

Haha, 'none of these'? Really? That's a bold move, but I don't think it's the right call here. C is definitely the winner. Gotta love these accounting exams, they keep you on your toes!

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Lenna

1 year ago

Haha, 'none of these'? Really? That's a bold move, but I don't think it's the right call here. C is definitely the winner. Gotta love these accounting exams, they keep you on your toes!

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Venita

1 year ago

C) What transaction and events have increased or decreased he fund's total economic resources during the reporting period, measured by changes in net assets like revenues and expenses?

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Flo

1 year ago

B) What transaction and events have decreased he fund's total economic resources during the reporting period, measured by changes in net assets like revenues and expenses?

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Nada

1 year ago

A) What transaction and events have increased the fund's total economic resources during the reporting period, measured by changes in net assets like revenues and expenses?

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Frank

1 year ago

Oh boy, this is a classic. I remember studying this in class - C is the way to go. Proprietary funds are just like private businesses, keeping tabs on all the ups and downs. Now, where did I put my calculator...?

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Jules

1 year ago

User 2: I agree, C is the right choice. It's all about tracking those economic resources just like a private business.

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Soledad

1 year ago

User 1: C) What transaction and events have increased or decreased the fund's total economic resources during the reporting period, measured by changes in net assets like revenues and expenses?

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Darnell

1 year ago

Aha, I know this one! It's definitely C. Proprietary funds are all about the big picture - tracking both increases and decreases in economic resources. A and B are too narrow, gotta go with the comprehensive answer.

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James

1 year ago

I'm not sure, but I think the answer might be C, as it considers both increases and decreases in economic resources.

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Aimee

1 year ago

Hmm, this one's tricky. I'm between B and C, but I think C is the better choice since it covers both increases and decreases in economic resources. Gotta love these accounting questions, they really make you think!

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