The foremost purpose of a CAFR is to provide financial transparency and thus , promulgate accountability. When a city or state government issues bonds to fund public projects, CAFR provides insights into the financial functioning of the government, based on which investors can take an informed decision.
What does a Comprehensive Annual Financial Report known as the CAFR include?
A Comprehensive Annual Financial Report is a set of U.S. government financial statements comprising the financial report of a state, municipal or other governmental entity that complies with the accounting requirements promulgated by the Governmental Accounting Standards Board (GASB).
What is the purpose of a Comprehensive Annual Financial Report or CAFR?
The purpose of the Comprehensive Annual Financial Report (CAFR) is to provide accurate and meaningful information concerning the City’s financial condition and performance .
What are the three sections of a Comprehensive Annual Financial Report CAFR?
The Comprehensive Annual Financial Report consists of three sections: Introductory, Financial and Statistical .
What is in the financial section of a CAFR?
The CAFR consists of three sections: Introductory, Financial and Statistical. The Introductory section orients and guides the reader through the report. The Financial section presents the entity’s basic financial statements as well as notes to the statements and the independent auditors’ report.
Which of the following should be included in the financial section of a comprehensive?
Which of the following should be included in the financial section of a comprehensive annual financial report? The basic financial statements, including notes thereto . Tables and charts showing demographic and economic data. A description of the government.
What is in an annual financial report?
The annual report contains key information on a company’s financial position that can be used to measure: A company’s ability to pay its debts as they come due. Whether a company made a profit or loss in its previous fiscal year. A company’s growth over a number of years.
What are the three major sections of CAFR?
A Comprehensive Annual Financial Report has three major sections: introductory, financial, and statistical . The introductory section furnishes general information on the government’s structure, services, and environment.
Is CAFR required?
The statistical section is a required part of a comprehensive annual financial report (CAFR), although governments are not required to prepare a statistical section if they do not present their basic financial statements within a CAFR. These circumstances are not altered by this Statement.
What is the difference between a CAFR and a budget?
CAFR, for the unfamiliar, is essentially all financial reporting for a state, local or other governmental entity. It’s not exactly a budget , which is essentially a plan for what a state will spend in a fiscal year and how its tax revenue will be allocated.
Which office is responsible for the annual report?
The Department of the Treasury , in coordination with the Office of Management and Budget (OMB), prepares the Financial Report, which includes the financial statements for the U.S. Government.
Which of the following is a section of the financial section of the Comprehensive Annual Financial Report of a state or local government?
Which of the following is a section of the financial section of the comprehensive annual financial report (CAFR) of a state or local government? Management’s discussion and analysis (MD&A).
What reports and schedules are included in the CAFR?
- Financial Trends Information.
- Revenue Capacity Information.
- Debt Capacity Information.
- Demographic and Economic Information.
- Operating Information.
What information is required in the financial section of a state or local government’s CAFR?
State and local governments are required to prepare a CAFR. Combining statements are required whenever a non-major column is used in one of the fund financial statements. A complete CAFR includes combining financial statements to reflect major funds.
What constitutes the basic financial statements of a government?
What constitutes the basic financial statements of a government? Financial section of the comprehensive annual financial report (CAFR) . ... Government-wide financial statements plus fund financial statements plus notes plus required supplementary information (RSI).
