CMFO Exam Question With Complete
Solutions
T/F: Due from State of New Jersey for Senior citizen Deductions can be
| | | | | | | | | | | | |
anticipated as a revenue in the current fund budget as non-cash surplus
| | | | | | | | | | |
- CORRECT ANSWER✔✔-True
| | |
Trust Assessment Fund cash is first pledged to: - CORRECT ANSWER✔✔-
| | | | | | | | | |
retirement of serial bonds | | |
Municipal Library Levy is paid on a - CORRECT ANSWER✔✔-quarterly
| | | | | | | | | |
basis
T/F: budget transfers from Capital Improvement Fund are not permitted
| | | | | | | | |
- CORRECT ANSWER✔✔-True
| | |
Finding/Condition; Recommendation; explanation & corrective action;
| | | | | |
implementation date - CORRECT ANSWER✔✔-Corrective Action Plan
| | | | | |
___________ mails out local assessment bills - CORRECT ANSWER✔✔-
| | | | | | | |
tax collector
|
,Oversight of PERS & PFRS is the - CORRECT ANSWER✔✔-Department of
| | | | | | | | | | |
Treasury
Corrective action must be adopted within _________ of receipt of the
| | | | | | | | | | |
audit reports - CORRECT ANSWER✔✔-60 days
| | | | |
Developer's Escrow monthly chargers greater than ________. The CFO
| | | | | | | | |
must provide an accounting statement to the developer on a monthly
| | | | | | | | | | |
basis. - CORRECT ANSWER✔✔-$1000
| | |
Default on bonds, Tax Collection Rate is less than 70%, Cash Deficit of
| | | | | | | | | | | | |
the tax levy in excess of 4% for 2 consecutive years - CORRECT
| | | | | | | | | | | | |
ANSWER✔✔-Local Finance Board intervention | | |
Resident requested to inspect vouchers that were approved for
| | | | | | | | |
payment at the most recent governing body meeting. Inspection of
| | | | | | | | | |
vouchers must be made available for inspection - CORRECT
| | | | | | | | |
ANSWER✔✔-immediately
Finance Disclosure forms are required for Income greater
| | | | | | | |
than________, gifts greater than ______, property within _________ -
| | | | | | | | |
CORRECT ANSWER✔✔-$2000, $400, NJ
| | |
,T/F: The Supplemental Debt Statement must be filed between the 1st
| | | | | | | | | | |
and 2nd reading of a bond ordinance. - CORRECT ANSWER✔✔-False
| | | | | | | | |
T/F: Three Different Bond ordinances are introduced at a public meeting
| | | | | | | | | |
only 1 supplemental debt statement is required. - CORRECT
| | | | | | | | | |
ANSWER✔✔-True
T/F: The anticipated revenue for Receipts from Delinquent Taxes is
| | | | | | | | | |
limited to the amount of revenue realized in the previous year -
| | | | | | | | | | | |
CORRECT ANSWER✔✔-False |
T/F: The Annual Debt Statement is due upon introduction of a bond
| | | | | | | | | | | |
ordinance. - CORRECT ANSWER✔✔-False | | |
Federal Single Audit is required if Federal Grant expenditures equals or
| | | | | | | | | | |
exceeds - CORRECT ANSWER✔✔-$750000
| | |
T/F: The cash management plan can be amended at any time. -
| | | | | | | | | | | |
CORRECT ANSWER✔✔-True |
Gross Debt - Deductions = - CORRECT ANSWER✔✔-Net Debt
| | | | | | | |
Security can be converted into cash - CORRECT ANSWER✔✔-liquidity
| | | | | | | |
, Chairperson of the Local Finance Board is - CORRECT ANSWER✔✔-
| | | | | | | | |
Director of DLGS | |
Old escrow accounts escheat to - CORRECT ANSWER✔✔-State of NJ as
| | | | | | | | | | |
unclaimed property |
T/F: Interest on Utility Assessment Debt is appropriated in the Current
| | | | | | | | | | |
Fund - CORRECT ANSWER✔✔-False
| | |
Budget Transfers need a vote of - CORRECT ANSWER✔✔-2/3 of
| | | | | | | | | |
governing body |
T/F: Pursuant to Local Budget Law municipalities are permitted to
| | | | | | | | | |
overspend a legal line item appropriation if the overall Current Fund
| | | | | | | | | | |
Budget remains in a surplus - CORRECT ANSWER✔✔-False
| | | | | | |
T/F: In regard to use of P-cards, under no circumstances may a
| | | | | | | | | | | |
transaction exceed 15% of a municipality bid threshold. - CORRECT
| | | | | | | | | |
ANSWER✔✔-False
T/F: Municipalities that carries a statutory excess in Reserve for an
| | | | | | | | | | |
Animal Control Fund at year end excess is Due to Current Fund and
| | | | | | | | | | | | |
recorded as MRNA. - CORRECT ANSWER✔✔-True
| | | | |
Solutions
T/F: Due from State of New Jersey for Senior citizen Deductions can be
| | | | | | | | | | | | |
anticipated as a revenue in the current fund budget as non-cash surplus
| | | | | | | | | | |
- CORRECT ANSWER✔✔-True
| | |
Trust Assessment Fund cash is first pledged to: - CORRECT ANSWER✔✔-
| | | | | | | | | |
retirement of serial bonds | | |
Municipal Library Levy is paid on a - CORRECT ANSWER✔✔-quarterly
| | | | | | | | | |
basis
T/F: budget transfers from Capital Improvement Fund are not permitted
| | | | | | | | |
- CORRECT ANSWER✔✔-True
| | |
Finding/Condition; Recommendation; explanation & corrective action;
| | | | | |
implementation date - CORRECT ANSWER✔✔-Corrective Action Plan
| | | | | |
___________ mails out local assessment bills - CORRECT ANSWER✔✔-
| | | | | | | |
tax collector
|
,Oversight of PERS & PFRS is the - CORRECT ANSWER✔✔-Department of
| | | | | | | | | | |
Treasury
Corrective action must be adopted within _________ of receipt of the
| | | | | | | | | | |
audit reports - CORRECT ANSWER✔✔-60 days
| | | | |
Developer's Escrow monthly chargers greater than ________. The CFO
| | | | | | | | |
must provide an accounting statement to the developer on a monthly
| | | | | | | | | | |
basis. - CORRECT ANSWER✔✔-$1000
| | |
Default on bonds, Tax Collection Rate is less than 70%, Cash Deficit of
| | | | | | | | | | | | |
the tax levy in excess of 4% for 2 consecutive years - CORRECT
| | | | | | | | | | | | |
ANSWER✔✔-Local Finance Board intervention | | |
Resident requested to inspect vouchers that were approved for
| | | | | | | | |
payment at the most recent governing body meeting. Inspection of
| | | | | | | | | |
vouchers must be made available for inspection - CORRECT
| | | | | | | | |
ANSWER✔✔-immediately
Finance Disclosure forms are required for Income greater
| | | | | | | |
than________, gifts greater than ______, property within _________ -
| | | | | | | | |
CORRECT ANSWER✔✔-$2000, $400, NJ
| | |
,T/F: The Supplemental Debt Statement must be filed between the 1st
| | | | | | | | | | |
and 2nd reading of a bond ordinance. - CORRECT ANSWER✔✔-False
| | | | | | | | |
T/F: Three Different Bond ordinances are introduced at a public meeting
| | | | | | | | | |
only 1 supplemental debt statement is required. - CORRECT
| | | | | | | | | |
ANSWER✔✔-True
T/F: The anticipated revenue for Receipts from Delinquent Taxes is
| | | | | | | | | |
limited to the amount of revenue realized in the previous year -
| | | | | | | | | | | |
CORRECT ANSWER✔✔-False |
T/F: The Annual Debt Statement is due upon introduction of a bond
| | | | | | | | | | | |
ordinance. - CORRECT ANSWER✔✔-False | | |
Federal Single Audit is required if Federal Grant expenditures equals or
| | | | | | | | | | |
exceeds - CORRECT ANSWER✔✔-$750000
| | |
T/F: The cash management plan can be amended at any time. -
| | | | | | | | | | | |
CORRECT ANSWER✔✔-True |
Gross Debt - Deductions = - CORRECT ANSWER✔✔-Net Debt
| | | | | | | |
Security can be converted into cash - CORRECT ANSWER✔✔-liquidity
| | | | | | | |
, Chairperson of the Local Finance Board is - CORRECT ANSWER✔✔-
| | | | | | | | |
Director of DLGS | |
Old escrow accounts escheat to - CORRECT ANSWER✔✔-State of NJ as
| | | | | | | | | | |
unclaimed property |
T/F: Interest on Utility Assessment Debt is appropriated in the Current
| | | | | | | | | | |
Fund - CORRECT ANSWER✔✔-False
| | |
Budget Transfers need a vote of - CORRECT ANSWER✔✔-2/3 of
| | | | | | | | | |
governing body |
T/F: Pursuant to Local Budget Law municipalities are permitted to
| | | | | | | | | |
overspend a legal line item appropriation if the overall Current Fund
| | | | | | | | | | |
Budget remains in a surplus - CORRECT ANSWER✔✔-False
| | | | | | |
T/F: In regard to use of P-cards, under no circumstances may a
| | | | | | | | | | | |
transaction exceed 15% of a municipality bid threshold. - CORRECT
| | | | | | | | | |
ANSWER✔✔-False
T/F: Municipalities that carries a statutory excess in Reserve for an
| | | | | | | | | | |
Animal Control Fund at year end excess is Due to Current Fund and
| | | | | | | | | | | | |
recorded as MRNA. - CORRECT ANSWER✔✔-True
| | | | |
