What does the acronym AFR stand for in governmental reporting?

The acronym AFR in governmental reporting stands for Agency Financial Report. This document is crucial as it provides a comprehensive overview of an agency's financial status and performance for a particular fiscal year. It includes various components such as financial statements, management’s discussion and analysis, and information about the agency's mission and performance metrics.

An Agency Financial Report is prepared to fulfill legal and accountability requirements, ensuring transparency and providing insights into the financial health, operations, and management of the agency. It serves stakeholders, including lawmakers, oversight bodies, and the public, by detailing how federal funds are utilized, thus promoting accountability in government operations.