What issue do Government-wide Financial Statements aim to resolve?

Government-wide Financial Statements aim to provide a comprehensive overview of a government’s financial position and operational results. One of the key issues they address is the potential for duplicate recording of costs. In governmental accounting, various funds and departments may track expenses independently, which can lead to duplication when aggregating financial information. The government-wide statements consolidate financial data from all fund types to present a clearer and more unified picture of the government's overall finances. By eliminating redundancies and providing a streamlined view, these statements enhance the accuracy and reliability of financial reporting, ensuring that stakeholders can better understand the financial health of the government entity as a whole.

The other options touch upon different challenges in financial reporting and public administration but do not directly pertain to the primary purpose of government-wide financial statements. For instance, while transparency in tax revenue is an important concern, it does not specifically relate to the consolidation of financial data from multiple sources. Similarly, inconsistencies in auditor reports and inaccurate population estimates are issues that may arise in different contexts but do not reflect the fundamental aim of government-wide financial statements.