CMFO REVIEWED EXAM
TEST QUESTIONS AND
CORRECT ANSWERS
GRADED A+ 2025-2026
Every audit required by the Local Fiscal Affairs Law is required to be completed by an
accountant or auditor who holds an uncanceled license as: - ANS-registered municipal
accountant
The statutory responsibility for the filing of the Unaudited Annual Financial
Statements is assigned to which local government official - ANS-cfo
A local government officer that serves on a local government agency that approved
development applications would refer to a member of which board - ANS-planning
board
The "Local Fiscal Affairs Law" mandate s that the Cash Management Plan be approved
annually by the: - ANS-governing body
The Local Bond Law stipulates that the maturities of all bonds shall be as determined
by the bond ordinance or by subsequent resolution and be within the following
limitations: - ANS-all bonds shall mature within the period of usefulness, all bonds
shall mature in annual installments, the governing body may provide for a single or
combined issue
The effective date of a bond ordinance is what length of time? - ANS-20 days after the
first publication after adoption
,All matters not required to be contained in a bond ordinance may be acted on by
subsequent resolutions passed by the affirmative votes of a majority of the governing
body - ANS-true
An increase in anticipated revenue from a known and recurring source may have what
effect on the appropriation for the Reserve for Uncollected Taxes? - ANS-decrease the
RUT
No resolution authorizing the entering into any contract shall be enacted unless it shall
recite that such a certificate showing the availability of funds has been provided. In
addition it requires: - ANS-the resolution specify the exact line item appropriation or
ordinance to be charged
The New Jersey Budget Law requires that the budget shall consist of a tabulated
statement of: - ANS-all anticipated revenues applicable to expenditures for which
appropriations are made
The four classifications of revenue are: - ANS-surplus anticipated, miscellaneous
revenues, receipts from delinquent taxes, amount to be raised by taxation
Implementation of a dedicated tax program for open space, recreation, farmland and
historic preservation trust fund taxing districts are authorized by which of the
following: - ANS-referendum held at a general or specific election
The Local Budget Law permits the tax collection rate used to compute the RUT to be
based on an average when the tax collection rate has been affected by tax refunds or
adjustments from successful property tax appeals. The number of years included in
the calculation of the average is: - ANS-3
The limitation of a municipality's debt is regulated by the Local Bond Law. It stats that
the limit shall be a percentage of the average of the preceding three years equalized
assessed valuations. That percentage limit is which of the following: - ANS-3.5
What is the value threshold established by the "Pay to Play" law, at which a contract
cannot be awarded by a New Jersey government entity - ANS-17500
, According to Local Bond Law the short term borrowing instruments are known as Bond
Anticipation Notes and these notes may not be issued for a period of time exceeding: -
ANS-1 year
All bond anticipation notes shall mature and be paid not later that which anniversary
of the date of the original notes? - ANS-10 years
The Local Bond Law requires that "prior to the passage on first reading of any bond
ordinance, or ordinance amending a bond ordinance, except amending as to matters
which are not required to be contained in a bond ordinance or which does not increase
the total amount of the obligations authorized by such bond ordinance", the financial
officer shall file with the office of the clerk which document - ANS-supplemental debt
statement
The Local Public Contracts Law permits contacting to be entered into that exceed the
bidding threshold if the situation effects which of the following - ANS-the public
health, safety or welfare
The minimum number of days for the advertisement for the receipt of bids is: - ANS-10
days
The NJAC, The Local Public Contracts Law Rules lists the general requirements for all
change orders one of those requirements is that: - ANS-responsibility for change orders
lies with the governing body
Any anticipated deficit in expenditures to which dedicated revenues are applicable
shall be provided for by an appropriation in the budget. The appropriation of the
anticipated deficit would be included in which budget? - ANS-current fund
The statutory deadline for the filing of the Unaudited Annual Financial Statement for a
State Fiscal Year municipality is - ANS-August 10
What is the dollar amount threshold that must be exceeded in order for a property
owner to file a complaint directly with the New Jersey Tax Court in the appealing of
property assessments - ANS-1000000
TEST QUESTIONS AND
CORRECT ANSWERS
GRADED A+ 2025-2026
Every audit required by the Local Fiscal Affairs Law is required to be completed by an
accountant or auditor who holds an uncanceled license as: - ANS-registered municipal
accountant
The statutory responsibility for the filing of the Unaudited Annual Financial
Statements is assigned to which local government official - ANS-cfo
A local government officer that serves on a local government agency that approved
development applications would refer to a member of which board - ANS-planning
board
The "Local Fiscal Affairs Law" mandate s that the Cash Management Plan be approved
annually by the: - ANS-governing body
The Local Bond Law stipulates that the maturities of all bonds shall be as determined
by the bond ordinance or by subsequent resolution and be within the following
limitations: - ANS-all bonds shall mature within the period of usefulness, all bonds
shall mature in annual installments, the governing body may provide for a single or
combined issue
The effective date of a bond ordinance is what length of time? - ANS-20 days after the
first publication after adoption
,All matters not required to be contained in a bond ordinance may be acted on by
subsequent resolutions passed by the affirmative votes of a majority of the governing
body - ANS-true
An increase in anticipated revenue from a known and recurring source may have what
effect on the appropriation for the Reserve for Uncollected Taxes? - ANS-decrease the
RUT
No resolution authorizing the entering into any contract shall be enacted unless it shall
recite that such a certificate showing the availability of funds has been provided. In
addition it requires: - ANS-the resolution specify the exact line item appropriation or
ordinance to be charged
The New Jersey Budget Law requires that the budget shall consist of a tabulated
statement of: - ANS-all anticipated revenues applicable to expenditures for which
appropriations are made
The four classifications of revenue are: - ANS-surplus anticipated, miscellaneous
revenues, receipts from delinquent taxes, amount to be raised by taxation
Implementation of a dedicated tax program for open space, recreation, farmland and
historic preservation trust fund taxing districts are authorized by which of the
following: - ANS-referendum held at a general or specific election
The Local Budget Law permits the tax collection rate used to compute the RUT to be
based on an average when the tax collection rate has been affected by tax refunds or
adjustments from successful property tax appeals. The number of years included in
the calculation of the average is: - ANS-3
The limitation of a municipality's debt is regulated by the Local Bond Law. It stats that
the limit shall be a percentage of the average of the preceding three years equalized
assessed valuations. That percentage limit is which of the following: - ANS-3.5
What is the value threshold established by the "Pay to Play" law, at which a contract
cannot be awarded by a New Jersey government entity - ANS-17500
, According to Local Bond Law the short term borrowing instruments are known as Bond
Anticipation Notes and these notes may not be issued for a period of time exceeding: -
ANS-1 year
All bond anticipation notes shall mature and be paid not later that which anniversary
of the date of the original notes? - ANS-10 years
The Local Bond Law requires that "prior to the passage on first reading of any bond
ordinance, or ordinance amending a bond ordinance, except amending as to matters
which are not required to be contained in a bond ordinance or which does not increase
the total amount of the obligations authorized by such bond ordinance", the financial
officer shall file with the office of the clerk which document - ANS-supplemental debt
statement
The Local Public Contracts Law permits contacting to be entered into that exceed the
bidding threshold if the situation effects which of the following - ANS-the public
health, safety or welfare
The minimum number of days for the advertisement for the receipt of bids is: - ANS-10
days
The NJAC, The Local Public Contracts Law Rules lists the general requirements for all
change orders one of those requirements is that: - ANS-responsibility for change orders
lies with the governing body
Any anticipated deficit in expenditures to which dedicated revenues are applicable
shall be provided for by an appropriation in the budget. The appropriation of the
anticipated deficit would be included in which budget? - ANS-current fund
The statutory deadline for the filing of the Unaudited Annual Financial Statement for a
State Fiscal Year municipality is - ANS-August 10
What is the dollar amount threshold that must be exceeded in order for a property
owner to file a complaint directly with the New Jersey Tax Court in the appealing of
property assessments - ANS-1000000
