Budgetary accounting and encumbrances

BAR Chapter 27 · Area III · Blueprint III.C.8

In a government, the budget is the law. The council appropriates money, departments may not spend beyond it, and the accounting system has to prove they did not. The Blueprint asks you to recall the types of budgets and to record the budget and encumbrances with journal entries. This last chapter follows Riverton's general fund from the council vote in June to the year-end close.

In this chapter

Kinds of budgets
Recording the budget
Recording encumbrances
Closing the year
Budgetary control in practice

This chapter has 5 lessons, 50 practice MCQs with explanations and 12 simulations, plus flashcards and a recall sheet.

What this chapter covers

Types of budgets
recording the budget
recording encumbrances

Chapter 26: Interfund activity, nonexchange revenue and expenditures