Question 1

To determine which costs are allowable for charging to a federal assistance program,accountants and auditors refer to the GASB cost circular.

Accepted Answer

A) True 
 B)False

Question 2

Describe what is meant by the direct costs of a program (for example,a fire prevention program)and why it is important to distinguish direct costs from indirect costs.

Accepted Answer

The direct costs of a program are those

Question 3

Service efforts and accomplishments measures suffer from the same problem as line-item or object-of-expenditures budgeting; that is,focusing only on resource inputs while ignoring outputs and outcomes of governmental activities.

Accepted Answer

A) True 
 B)False

Question 4

The GASB "Budgeting Principle" states that an annual budget should be adopted by (for)every:

Accepted Answer

A)  Fiduciary fund type. 
B)  Fund of a government. 
C)  Governmental unit. 
D)  Governmental fund type except special revenue funds 
A)  Fiduciary fund type. 
B)  Fund of a government. 
C)  Governmental unit. 
D)  Governmental fund type except special revenue funds

Question 5

In governments,the budget has always played a role in external financial reports through the required budget-to-actual comparison schedules or statements for those funds that have a legally approved budget.

Accepted Answer

A) True 
 B)False

Question 6

Cash disbursement budgets:

Accepted Answer

A)  Are prepared to facilitate the preparation of government-wide financial statements. 
B)  Are usually prepared for each month of the year, or for shorter intervals, in order to facilitate planning short-term borrowings and investments. 
C)  Are prepared only for funds not required to operate under legal appropriation budgets. 
D)  Are prepared only for each fiscal year because disbursements for each month are approximately equal. 
A)  Are prepared to facilitate the preparation of government-wide financial statements. 
B)  Are usually prepared for each month of the year, or for shorter intervals, in order to facilitate planning short-term borrowings and investments. 
C)  Are prepared only for funds not required to operate under legal appropriation budgets. 
D)  Are prepared only for each fiscal year because disbursements for each month are approximately equal.

Question 7

Cash receipts and cash disbursement budgets for a government:

Accepted Answer

A)  Should be prepared for all funds for the entire fiscal year. 
B)  Should be prepared monthly or as needed to enhance cash management, investment management, and short-term debt management. 
C)  Should be prepared for only those funds for which appropriations budgets are required by law to be prepared on the accrual basis or the modified accrual basis. 
D)  Should be prepared for only those funds for which appropriations budgets are not required by law. 
A)  Should be prepared for all funds for the entire fiscal year. 
B)  Should be prepared monthly or as needed to enhance cash management, investment management, and short-term debt management. 
C)  Should be prepared for only those funds for which appropriations budgets are required by law to be prepared on the accrual basis or the modified accrual basis. 
D)  Should be prepared for only those funds for which appropriations budgets are not required by law.

Question 8

Public hearings must be held to provide adequate opportunity for citizens' input to governmental budgets,prior to legislative adoption of the budget.

Accepted Answer

A) True 
 B)False

Question 9

Are governments required to report their budgets externally? Explain.

Accepted Answer

Most governments publish a stand-alone b

Question 10

The sole purpose of preparing a governmental budget is to show compliance with laws and regulations.

Accepted Answer

A) True 
 B)False

Question 11

Service efforts and accomplishments (SEA)information:

Accepted Answer

A)  Includes indicators of a government's actual performance in providing services to its citizens. 
B)  Aids users in assessing the economy, efficiency, and effectiveness of government. 
C)  Is required for all governments that issue a CAFR. 
D)  Both A and B are true. 
A)  Includes indicators of a government's actual performance in providing services to its citizens. 
B)  Aids users in assessing the economy, efficiency, and effectiveness of government. 
C)  Is required for all governments that issue a CAFR. 
D)  Both A and B are true.

Question 12

Explain how strategic planning,budgeting,and performance measurement can be integrated in a government and why this integration is desirable.

Accepted Answer

To integrate strategic planning,budgetin

Question 13

Which of the following statements regarding service efforts and accomplishments (SEA)is not ?

Accepted Answer

A)  Measures of service efforts, or input measures, relate to the amount of financial and nonfinancial resources (such as money and materials) used in a program or process. 
B)  Effort measures relate service efforts to outputs of service and to outcomes or results of services. 
C)  Output measures are quantity measures that reflect either the quantity of a service provided or the quantity of service provided that meets a specified quality requirement. 
D)  Outcome measures gauge accomplishments, or the results of services provided. 
A)  Measures of service efforts, or input measures, relate to the amount of financial and nonfinancial resources (such as money and materials) used in a program or process. 
B)  Effort measures relate service efforts to outputs of service and to outcomes or results of services. 
C)  Output measures are quantity measures that reflect either the quantity of a service provided or the quantity of service provided that meets a specified quality requirement. 
D)  Outcome measures gauge accomplishments, or the results of services provided.

Question 14

Governmental budgets must be voted upon by citizens for approval in an annual general election.

Accepted Answer

A) True 
 B)False

Question 15

The GASB identifies which of the following three broad categories of service efforts and accomplishments (SEA)measures:

Accepted Answer

A)  Measures of service efforts, measures of service accomplishments, and measures of efficiency. 
B)  Measures of service efforts and accomplishments, measures of service efficiency, and measures of service effectiveness. 
C)  Measures of service efforts, measures of service accomplishments, and measures of the costs of service efforts and accomplishments. 
D)  Measures of service efforts, measures of service accomplishments, and measures that relate efforts to accomplishments. 
A)  Measures of service efforts, measures of service accomplishments, and measures of efficiency. 
B)  Measures of service efforts and accomplishments, measures of service efficiency, and measures of service effectiveness. 
C)  Measures of service efforts, measures of service accomplishments, and measures of the costs of service efforts and accomplishments. 
D)  Measures of service efforts, measures of service accomplishments, and measures that relate efforts to accomplishments.

Question 16

Which of the following statements is not ?

Accepted Answer

A)  A balanced scorecard is an integrated set of performance targets, both financial and nonfinancial, that are derived from an organization's strategies about how to achieve its goals. 
B)  Total quality management (TQM) seeks to continuously improve the government's ability to meet or exceed demands from customers who might be external, such as taxpayers and service recipients, or internal, such as the customers of an internal service fund. 
C)  Service efforts and accomplishments (SE
A)  reporting links customer (taxpayer and other resource provider) satisfaction to improvements in the operating systems and processes used to provide goods and services. 
D)  Customer relationship management (CRM) systems create an integrated view of a customer to coordinate services from all channels of the organization with the intent to improve the long-term relationship the organization has with its customer. 
A)  A balanced scorecard is an integrated set of performance targets, both financial and nonfinancial, that are derived from an organization's strategies about how to achieve its goals. 
B)  Total quality management (TQM) seeks to continuously improve the government's ability to meet or exceed demands from customers who might be external, such as taxpayers and service recipients, or internal, such as the customers of an internal service fund. 
C)  Service efforts and accomplishments (SE
A)  reporting links customer (taxpayer and other resource provider) satisfaction to improvements in the operating systems and processes used to provide goods and services. 
D)  Customer relationship management (CRM) systems create an integrated view of a customer to coordinate services from all channels of the organization with the intent to improve the long-term relationship the organization has with its customer.

Question 17

Which of the following is not a typical step in the budgeting process for a state or local government?

Accepted Answer

A)  Request by management for input on the budget. 
B)  Review and revisions of the budget by the administrative staff of each unit. 
C)  Public hearings for citizen input. 
D)  Approval by a majority vote of the citizenry. 
A)  Request by management for input on the budget. 
B)  Review and revisions of the budget by the administrative staff of each unit. 
C)  Public hearings for citizen input. 
D)  Approval by a majority vote of the citizenry.

Question 18

A generally unallowable cost may be allowable under certain circumstances.

Accepted Answer

A) True 
 B)False

Question 19

The finance officer of a small city has heard that certain items of cost may be allowable under federal grants,even though they were not incurred specifically for the grant.To what source could the finance officer go to determine what costs are allowable under federal grants? Why do you think the federal government specifies the allowability of costs?

Accepted Answer

The OMB's Uniform Administrative Require

Question 20

The following are key terms in Chapter 12 that relate to budgeting of government services:
 A.Efficiency measures
B.Effectiveness measures
C.Planning-programming-budgeting system
D.Zero-based budgeting
E.Program budgeting
F.Flexible budgeting
G.Incremental budgeting
H.Budget calendar
For each of the following definitions,indicate the key term from the list above that best matches by placing the appropriate letter in the blank space next to the definition.
_____ 1. A budget in which each activity and the amounts of resources requested for each activity must be justified each year
_____ 2. A budget that is derived from the current year budget by multiplying a factor across all line-items
_____ 3. A budgeting approach popular in the 1960s that integrates various elements of planning for programs
_____ 4. Measures that relate costs to outcomes
_____ 5. A budget in which resource inputs and service outputs are identified by programs

Accepted Answer

The answer of The following are key terms in Chapter...

To determine which costs are allowable for charging to a federal assistance program,accountants and auditors refer to the GASB cost circular.

Describe what is meant by the direct costs of a program (for example,a fire prevention program)and why it is important to distinguish direct costs from indirect costs.

Service efforts and accomplishments measures suffer from the same problem as line-item or object-of-expenditures budgeting; that is,focusing only on resource inputs while ignoring outputs and outcomes of governmental activities.

The GASB "Budgeting Principle" states that an annual budget should be adopted by (for)every:

In governments,the budget has always played a role in external financial reports through the required budget-to-actual comparison schedules or statements for those funds that have a legally approved budget.

Cash disbursement budgets:

Cash receipts and cash disbursement budgets for a government:

Public hearings must be held to provide adequate opportunity for citizens' input to governmental budgets,prior to legislative adoption of the budget.

Are governments required to report their budgets externally? Explain.

The sole purpose of preparing a governmental budget is to show compliance with laws and regulations.

Service efforts and accomplishments (SEA)information:

Explain how strategic planning,budgeting,and performance measurement can be integrated in a government and why this integration is desirable.

Which of the following statements regarding service efforts and accomplishments (SEA)is not ?

Governmental budgets must be voted upon by citizens for approval in an annual general election.

The GASB identifies which of the following three broad categories of service efforts and accomplishments (SEA)measures:

Which of the following statements is not ?

Which of the following is not a typical step in the budgeting process for a state or local government?

A generally unallowable cost may be allowable under certain circumstances.

Introduction to Accounting and Financial Reporting for Governmental and Not-For-Profit Entities

Principles of Accounting and Financial Reporting for State and Local Governments

Governmental Operating Statement Accounts Budgetary Accounting

Accounting for Governmental Operating Activitiesillustrative Transactions and Financial Statements

Accounting for General Capital Assets and Capital Projects

Accounting for General Long-Term Liabilities and Debt Service

Accounting for the Business-Type Activities of State and Local Governments

Accounting for Fiduciary Activitiesagency and Trust Funds

Financial Reporting of State and Local Governments

Analysis of Governmental Financial Performance

Auditing of Governmental and Not-For-Profit Organizations

Accounting for Not-For-Profit Organizations

Not-For-Profit Organizationsregulatory, Taxation, and Performance Issues

Accounting for Colleges and Universities

Accounting for Health Care Organizations

Accounting and Reporting for the Federal Government Glossary

Filters

Exam 12: Budgeting and Performance Measurement

To determine which costs are allowable for charging to a federal assistance program,accountants and auditors refer to the GASB cost circular.

Describe what is meant by the direct costs of a program (for example,a fire prevention program)and why it is important to distinguish direct costs from indirect costs.

Service efforts and accomplishments measures suffer from the same problem as line-item or object-of-expenditures budgeting; that is,focusing only on resource inputs while ignoring outputs and outcomes of governmental activities.

The GASB "Budgeting Principle" states that an annual budget should be adopted by (for)every:

In governments,the budget has always played a role in external financial reports through the required budget-to-actual comparison schedules or statements for those funds that have a legally approved budget.

Cash disbursement budgets:

Cash receipts and cash disbursement budgets for a government:

Public hearings must be held to provide adequate opportunity for citizens' input to governmental budgets,prior to legislative adoption of the budget.

Are governments required to report their budgets externally? Explain.

The sole purpose of preparing a governmental budget is to show compliance with laws and regulations.

Service efforts and accomplishments (SEA)information:

Explain how strategic planning,budgeting,and performance measurement can be integrated in a government and why this integration is desirable.

Which of the following statements regarding service efforts and accomplishments (SEA)is not ?

Governmental budgets must be voted upon by citizens for approval in an annual general election.

The GASB identifies which of the following three broad categories of service efforts and accomplishments (SEA)measures:

Which of the following statements is not ?

Which of the following is not a typical step in the budgeting process for a state or local government?

A generally unallowable cost may be allowable under certain circumstances.

Introduction to Accounting and Financial Reporting for Governmental and Not-For-Profit Entities

Principles of Accounting and Financial Reporting for State and Local Governments

Governmental Operating Statement Accounts Budgetary Accounting

Accounting for Governmental Operating Activitiesillustrative Transactions and Financial Statements

Accounting for General Capital Assets and Capital Projects

Accounting for General Long-Term Liabilities and Debt Service

Accounting for the Business-Type Activities of State and Local Governments

Accounting for Fiduciary Activitiesagency and Trust Funds

Financial Reporting of State and Local Governments

Analysis of Governmental Financial Performance

Auditing of Governmental and Not-For-Profit Organizations

Accounting for Not-For-Profit Organizations

Not-For-Profit Organizationsregulatory, Taxation, and Performance Issues

Accounting for Colleges and Universities

Accounting for Health Care Organizations

Accounting and Reporting for the Federal Government Glossary

Filters