Study 10 - Definition and Recognition of Expenses/Expenditures

This Study examines the concepts, principles and issues related to the treatment of expenses/expenditures in general purpose financial statements of governments and other non-business public sector entities.

Governments are under growing pressures not only to manage their funds effectively, but also to show their management has been effective. To achieve this, governments need complete information about their expenses/expenditures in order to assess their revenue requirements, the sustainability of their programs and their flexibility.
This Study extends Study 1, Financial Reporting by National Governments, issued in March 1991, and Study 2, Elements of the Financial Statement of National Governments, issued in July 1993. It is also a companion to Study 5, Definition and Recognition of Assets, Study 6, Accounting for and Reporting Liabilities, and Study 9, Definition and Recognition of Revenues.

The primary focus of this Study is on the financial statements prepared for national governments and for the entities and units they establish for the delivery of goods and services and the achievement of government objectives. However, the matters it addresses may be equally applicable for other levels of governments (state, provincial and local governments).

Study 10 - Definition and Recognition of Expenses/Expenditures (PDF | 159K)
Date: Dec 01, 1996
Author: IPSASB

Related Resources

• Budget Reporting
• Estudio 14 - Transición a la base contable de acumulación (o devengo): Directrices para entidades del sector público (Tercera edición)
• International Public Sector Accounting Standards (IPSASs) and Statistical Bases of Financial Reporting: An Analysis of Differences and Recommendations for Convergence
• Study 14 - Transition to the Accrual Basis of Accounting: Guidance for Governments and Government Entities (Third Edition)
• The Road to Accrual Accounting in the United States of America