ENCUMBRANCE - A reservation of an expenditure authority for an obligation in the form of purchase orders or contracts. An encumbrance represents a commitment. It is not an expenditure.
ENDOWMENT - Refer to PERMANENT FUNDS.
ENTERPRISE FUNDS - Used to account for any activity for which a fee is charged to external users for goods or services. Activities are required to be reported as enterprise funds, in the context of the activity's principal revenue sources, if any one of the following criteria is met: a） the activity is financed with debt that is secured solely by pledge of the net revenues from fees and charges of the activity; 2） laws or regulations require that the activity's costs of providing services, including capital costs （such as depreciation or debt service）, be recovered with fees and charges, rather than with taxes or similar revenues. Refer to PROPRIETARY FUNDS.
ENTITLEMENT - A service or grant that, under federal law, must be provided to all eligible applicants.
ENTITY - The basic unit upon which accounting and/or financial reporting activities are focused.
ENTRY - The record of a financial transaction in the appropriate books of account.
EQUIPMENT - Tangible property other than land, buildings, improvements other than buildings, or infrastructure, which is used in operations and with a useful life of more than one year. Examples are furnishings, equipment, and software. Equipment may be attached to a structure for purposes of securing the item, but unless it is permanently attached to, or an integral part of, the building or structure, it is to be classified as equipment and not buildings.
EQUITY INVESTMENTS - Equity investments include, but are not limited to, any instruments representing ownership shares in an enterprise （e.g., common, preferred, and other capital stock）.
EQUITY TRANSFERS - Nonrecurring or nonroutine transfers of equity between funds. An example of an equity transfers is the transfer of residual equity from a discontinued fund. Refer to INTERFUND TRANSFERS.
ESTIMATED REVENUE - This is a budgetary term that identifies revenues expected to be received or accrued during a given period.
EVIDENCE OF COMPETITION - Documentation demonstrating that an agency has solicited responses from multiple firms in selecting a consultant.
EXCHANGE TRANSACTIONS - Transaction in which each party receives and gives up essentially equal values.
EXCHANGE-LIKE TRANSACTIONS - Transaction in which there is an identifiable exchange between the state and another party, but the values exchanged may not be quite equal or the direct benefits of the exchange may not be exclusively for the parties to the exchange.
EXHAUSTIBLE CAPITAL ASSETS - Refer to DEPRECIABLE CAPITAL ASSETS and MODIFIED APPROACH TO DEPRECIATION.
EXPENDITURE AUTHORITY - Permission for agencies to disburse moneys or accrue liabilities during specific fiscal periods, up to specified amounts, from specific accounts. Authority is provided by the Legislature through appropriations or inclusion of nonappropriated account moneys in the legislative budget; by the executive through allocations, approval of unanticipated receipts, or across-the-board spending reductions.
EXPENDITURE AUTHORITY CODE - The three-character code assigned by the Office of Financial Management （OFM） to identify each legislative or executive authorization to incur expenditures. Agencies are to use only those expenditure authority codes that have been authorized in writing by OFM. The assigned codes are valid only for the biennium for which they are established. Refer to EXPENDITURE AUTHORITY, APPROPRIATION, UNANTICIPATED RECEIPT, and ALLOCATION.
EXPENDITURES - Decreases in net current financial resources. Expenditures include disbursements and accruals of the current period. Expenditures do not include encumbrances.
EXPENSES - Decreases in net total assets. Expenses represent the cost of operations incurred during the current period regardless of the timing of the related disbursements.
FACE VALUE - As applied to securities, this term designates the amount of an insurer's liability stated in the security document.
FAIR VALUE - The amount that could reasonably be expected to be received for an investment in a current sale between a willing buyer and a willing seller. For publicly traded securities, this is the price at which the security is currently being traded on a national market. For investment instruments that are not publicly traded, this is the appraised value adjusted for cash flows to or from the investment.
FEDERAL FINANCIAL ASSISTANCE - Assistance that nonfederal entities receive or administer in the form of grants, loans, loan guarantees, property （including donated surplus property）, cooperative agreements, interest subsidies, insurance, food commodities, direct appropriations, or other assistance. It does not include amounts received for provision of vendor services to federal agencies or reimbursements for services rendered directly to individuals.
FIDELITY BOND - A written promise to indemnify against losses from theft, embezzlement, defalcation, and misappropriation of public moneys by government officers and employees. Refer to SURETY BOND.
FIDUCIARY FUNDS - Fiduciary funds are used to account for assets held by the state in a trustee capacity, or as an agent for others and that cannot be used to support the state's own programs. There are four types of fiduciary funds: private-purpose, pension （and other employee benefit）, and investment trust funds, and agency funds. Refer to PRIVATE-PURPOSE TRUST FUNDS, PENSION （AND OTHER EMPLOYEE BENEFIT） TRUST FUNDS, INVESTMENT TRUST FUNDS, and AGENCY FUNDS.
FIELD ORDER （A17-A, A17-1A） - A document used by agencies to order, encumber, liquidate, and authorize payment for local purchases. This form is used when an agency has general or specific authority to make the purchase or when the item being purchased falls within the statewide contracts.
FINAL AMENDED BUDGET - The original budget adjusted by all reserves, transfers, allocations, supplemental appropriations, and other legally authorized legislative and executive changes applicable to the fiscal year, whenever signed into law or otherwise legally authorized.
FINANCIAL AUDIT - An audit made by an independent external auditor for the purpose of issuing an audit opinion on the fair presentation of the financial statements of the state in conformity with GAAP. Refer to AUDIT.
FIRST-IN, FIRST-OUT （FIFO） - An inventory valuation method, which allocates cost on the assumption that goods are consumed or sold in the order that they were acquired.
FISCAL PERIOD - Any period at the end of which a governmental unit determines its financial position and the results of its operations. Refer to ACCOUNTING PERIOD.
FISCAL YEAR - In Washington State, a 12-month period extending from July 1 of one calendar year to June 30 of the next calendar year.
FIXED ASSETS - Refer to CAPITAL ASSETS.
FIXED INCOME INVESTMENTS - Fixed income investments consist of those non-equity assets （e.g., bonds） where earnings are derived from interest that is a fixed percentage of the asset's par, stated, or face value. These may include investments purchased at a discount that do not have coupon payments.
FIXTURES - Attachments to buildings, which are not intended to be removed, and which cannot be removed without damage to the buildings. Those fixtures with useful lives presumed to be as long as that of the building itself are considered a part of the building; all others are classified as equipment.
FOOD STAMPS - For financial reporting purposes, the dollar value of food stamps on hand for future distribution.
FOREIGN TRAVEL - Travel in all areas of the world outside of the United States of America and its possessions.
FULL-TIME EQUIVALENT （FTE） - Equivalent of 2088 hours of work in a fiscal year.
FUNCTION - A group of related activities aimed at accomplishing a major service or regulatory program for which a government is responsible.
FUNCTION AND PROGRAM CODES - Codes assigned by an agency with the concurrence of the Office of Financial Management to identify an agency's functional areas and the various major activities within an agency. Refer to FUNCTION and PROGRAM.
FUND - For state purposes, a fund is referred to as an account. Refer to ACCOUNT.
FUND BALANCE - In governmental funds, this is the difference between fund assets and fund liabilities. Governmental fund balances should be segregated into reserved and unreserved amounts. Refer to RESERVED FUND BALANCE and UNRESERVED FUND BALANCE.
FUND CAPITAL ASSET - Capital assets recorded in proprietary and trust funds and used in the production of the goods or services provided or sold. Depreciation on fund capital assets is charged as an expense of the fund.
FUND EQUITY - The difference between a fund's assets and liabilities. In governmental funds, it is referred to as fund balance. In proprietary funds, it is referred to as net assets. Refer to FUND BALANCE and NET ASSETS.
FUND FINANCIAL STATEMENTS - Financial statements presented for the state's governmental, proprietary and fiduciary funds.
ENDOWMENT - Refer to PERMANENT FUNDS.
ENTERPRISE FUNDS - Used to account for any activity for which a fee is charged to external users for goods or services. Activities are required to be reported as enterprise funds, in the context of the activity's principal revenue sources, if any one of the following criteria is met: a） the activity is financed with debt that is secured solely by pledge of the net revenues from fees and charges of the activity; 2） laws or regulations require that the activity's costs of providing services, including capital costs （such as depreciation or debt service）, be recovered with fees and charges, rather than with taxes or similar revenues. Refer to PROPRIETARY FUNDS.
ENTITLEMENT - A service or grant that, under federal law, must be provided to all eligible applicants.
ENTITY - The basic unit upon which accounting and/or financial reporting activities are focused.
ENTRY - The record of a financial transaction in the appropriate books of account.
EQUIPMENT - Tangible property other than land, buildings, improvements other than buildings, or infrastructure, which is used in operations and with a useful life of more than one year. Examples are furnishings, equipment, and software. Equipment may be attached to a structure for purposes of securing the item, but unless it is permanently attached to, or an integral part of, the building or structure, it is to be classified as equipment and not buildings.
EQUITY INVESTMENTS - Equity investments include, but are not limited to, any instruments representing ownership shares in an enterprise （e.g., common, preferred, and other capital stock）.
EQUITY TRANSFERS - Nonrecurring or nonroutine transfers of equity between funds. An example of an equity transfers is the transfer of residual equity from a discontinued fund. Refer to INTERFUND TRANSFERS.
ESTIMATED REVENUE - This is a budgetary term that identifies revenues expected to be received or accrued during a given period.
EVIDENCE OF COMPETITION - Documentation demonstrating that an agency has solicited responses from multiple firms in selecting a consultant.
EXCHANGE TRANSACTIONS - Transaction in which each party receives and gives up essentially equal values.
EXCHANGE-LIKE TRANSACTIONS - Transaction in which there is an identifiable exchange between the state and another party, but the values exchanged may not be quite equal or the direct benefits of the exchange may not be exclusively for the parties to the exchange.
EXHAUSTIBLE CAPITAL ASSETS - Refer to DEPRECIABLE CAPITAL ASSETS and MODIFIED APPROACH TO DEPRECIATION.
EXPENDITURE AUTHORITY - Permission for agencies to disburse moneys or accrue liabilities during specific fiscal periods, up to specified amounts, from specific accounts. Authority is provided by the Legislature through appropriations or inclusion of nonappropriated account moneys in the legislative budget; by the executive through allocations, approval of unanticipated receipts, or across-the-board spending reductions.
EXPENDITURE AUTHORITY CODE - The three-character code assigned by the Office of Financial Management （OFM） to identify each legislative or executive authorization to incur expenditures. Agencies are to use only those expenditure authority codes that have been authorized in writing by OFM. The assigned codes are valid only for the biennium for which they are established. Refer to EXPENDITURE AUTHORITY, APPROPRIATION, UNANTICIPATED RECEIPT, and ALLOCATION.
EXPENDITURES - Decreases in net current financial resources. Expenditures include disbursements and accruals of the current period. Expenditures do not include encumbrances.
EXPENSES - Decreases in net total assets. Expenses represent the cost of operations incurred during the current period regardless of the timing of the related disbursements.
FACE VALUE - As applied to securities, this term designates the amount of an insurer's liability stated in the security document.
FAIR VALUE - The amount that could reasonably be expected to be received for an investment in a current sale between a willing buyer and a willing seller. For publicly traded securities, this is the price at which the security is currently being traded on a national market. For investment instruments that are not publicly traded, this is the appraised value adjusted for cash flows to or from the investment.
FEDERAL FINANCIAL ASSISTANCE - Assistance that nonfederal entities receive or administer in the form of grants, loans, loan guarantees, property （including donated surplus property）, cooperative agreements, interest subsidies, insurance, food commodities, direct appropriations, or other assistance. It does not include amounts received for provision of vendor services to federal agencies or reimbursements for services rendered directly to individuals.
FIDELITY BOND - A written promise to indemnify against losses from theft, embezzlement, defalcation, and misappropriation of public moneys by government officers and employees. Refer to SURETY BOND.
FIDUCIARY FUNDS - Fiduciary funds are used to account for assets held by the state in a trustee capacity, or as an agent for others and that cannot be used to support the state's own programs. There are four types of fiduciary funds: private-purpose, pension （and other employee benefit）, and investment trust funds, and agency funds. Refer to PRIVATE-PURPOSE TRUST FUNDS, PENSION （AND OTHER EMPLOYEE BENEFIT） TRUST FUNDS, INVESTMENT TRUST FUNDS, and AGENCY FUNDS.
FIELD ORDER （A17-A, A17-1A） - A document used by agencies to order, encumber, liquidate, and authorize payment for local purchases. This form is used when an agency has general or specific authority to make the purchase or when the item being purchased falls within the statewide contracts.
FINAL AMENDED BUDGET - The original budget adjusted by all reserves, transfers, allocations, supplemental appropriations, and other legally authorized legislative and executive changes applicable to the fiscal year, whenever signed into law or otherwise legally authorized.
FINANCIAL AUDIT - An audit made by an independent external auditor for the purpose of issuing an audit opinion on the fair presentation of the financial statements of the state in conformity with GAAP. Refer to AUDIT.
FIRST-IN, FIRST-OUT （FIFO） - An inventory valuation method, which allocates cost on the assumption that goods are consumed or sold in the order that they were acquired.
FISCAL PERIOD - Any period at the end of which a governmental unit determines its financial position and the results of its operations. Refer to ACCOUNTING PERIOD.
FISCAL YEAR - In Washington State, a 12-month period extending from July 1 of one calendar year to June 30 of the next calendar year.
FIXED ASSETS - Refer to CAPITAL ASSETS.
FIXED INCOME INVESTMENTS - Fixed income investments consist of those non-equity assets （e.g., bonds） where earnings are derived from interest that is a fixed percentage of the asset's par, stated, or face value. These may include investments purchased at a discount that do not have coupon payments.
FIXTURES - Attachments to buildings, which are not intended to be removed, and which cannot be removed without damage to the buildings. Those fixtures with useful lives presumed to be as long as that of the building itself are considered a part of the building; all others are classified as equipment.
FOOD STAMPS - For financial reporting purposes, the dollar value of food stamps on hand for future distribution.
FOREIGN TRAVEL - Travel in all areas of the world outside of the United States of America and its possessions.
FULL-TIME EQUIVALENT （FTE） - Equivalent of 2088 hours of work in a fiscal year.
FUNCTION - A group of related activities aimed at accomplishing a major service or regulatory program for which a government is responsible.
FUNCTION AND PROGRAM CODES - Codes assigned by an agency with the concurrence of the Office of Financial Management to identify an agency's functional areas and the various major activities within an agency. Refer to FUNCTION and PROGRAM.
FUND - For state purposes, a fund is referred to as an account. Refer to ACCOUNT.
FUND BALANCE - In governmental funds, this is the difference between fund assets and fund liabilities. Governmental fund balances should be segregated into reserved and unreserved amounts. Refer to RESERVED FUND BALANCE and UNRESERVED FUND BALANCE.
FUND CAPITAL ASSET - Capital assets recorded in proprietary and trust funds and used in the production of the goods or services provided or sold. Depreciation on fund capital assets is charged as an expense of the fund.
FUND EQUITY - The difference between a fund's assets and liabilities. In governmental funds, it is referred to as fund balance. In proprietary funds, it is referred to as net assets. Refer to FUND BALANCE and NET ASSETS.
FUND FINANCIAL STATEMENTS - Financial statements presented for the state's governmental, proprietary and fiduciary funds.