Question Description
Question 1
Read the journal article "Cracking the NonprofitAccounting Code.” Based on the information presented in the article, discuss:
a.How and why does the accounting system used bygovernmental/nonprofit entities differ from the system used by for-profitentities?
b.How does the annual financial report of agovernmental/nonprofit entity differ from the report of a for-profit entity?
c.The user of a for-profit financial report is usuallyinterested in the bottom line, net income. What are some top interests of theuser of the financial reports of a governmental/nonprofit entity? Referencethis week’s lecture to support your post.
Question 2
State or local government entities can engage ingovernmental activities as well as business-type activities. Provide twoexamples of each activity type. Discuss how and why accounting and financialreporting differs between the two types.
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