CGFM Exam 1 Questions with Complete
Solutions 2023 (Definite Pass)
Federalism - Answer-Power is distributed among different levels of government, no one
level has complete authority
Sovereignty - Answer-National government cant be sued by states or citizens without its
permission
Popular Sovereignty - Answer-Citizens hold ultimate authority through the ballot; even a
sovereign government is accountable to citizens
Primary Purpose of Government - Answer-Provide services to its citizens
10th Amendment - Answer-Aka - reserved Clause
National government cant dictate the manner in which state and local programs should
operate
Why are state and local governments called labratories of democracy? - Answer-They
experiment with policies and procedures that are later adopted at the national level
(upward influence)
At the state level, the legislative branch is sometimes referred to as? - Answer-General
Assembly
Cities, towns & villages are ________________ governments - Answer-Municipal
What is the type of municipal government with two branches: executive (mayor), and
legislative (council) - Answer-Mayor-Council form
The form of municipal government where the executive and legislative branches are
combined into the authority of commissioners - Answer-Commission form
Type of municipal government where council members embody the legislative branch &
a manager serves at discretion of the council- not the voters - Answer-Council Manager
Form
The first 10 amendments are known as ______________ - Answer-The Bill of RIghts
How many articles are in the Constitution? - Answer-Seven
No one branch of government can exercise complete control over another - Answer-
Separation of Powers
,Under _________________, courts can overturn laws if deemed unconstitional -
Answer-Judicial Review
Since each house may pass a different version of a bill, differences are reconciled in
___________________ - Answer-Conference Committees
Congress may override the presidents veto with a _______________ vote in BOTH
houses - Answer-Two-Thirds
The 3 branches of government can further be divided into ____________________ -
Answer-Components
Which branch has the most components - Answer-Executive
Many government components take the form of ________________, either permanent
of temporary - Answer-Commissions
The local government equivalent of a constitution - Answer-Charter
Put the following in order per hierarchy of government authorities: Laws, Executive
Orders, Constitution, Rules & Regulations - Answer-Constitution, Laws, Executive
Orders, Rules & Regulations
Which decision is most likely to be made during the "programming phase"
a- broad goals of government
b- whether to lease space of construct a new building
c- how to respond to an audit report
d- appropriate accounting methods - Answer-B - Make or buy done decisions done
during programming phase
Which is not a typical output of programming phase?
a- most cost effective means to acheive objectives
b- specific, measurable objectives
c- level of resources requested
d- reprogramming requests - Answer-D - reprogramming requests
Typically, which type of budget will be in effect the longest?
a-operations
b- cash flow
c- capital - Answer-C- Capital
, What is the purpose of forecasting in regards to the budget? - Answer-To determine the
likely level of economic activity & economic trends and how they will impact revenue &
expenses
What publication of the national government provides an effective guide to internal
controls & may be applied at all levels of government - Answer-Standards for Internal
Control in the federal government (GAO)
Which of the following is least supported through financial accounting?
a- information about expenses and inter-governmental transfers
b- info about fund levels & disbursements
c-info about deposits and earmarked receipts
d- info about achievement of program outcomes - Answer-D - this requires non-financial
information
Which entity provides detailed instructions for completing performance & accountability
reports at the federal level?
a- AGA
b- OMB
c- GASB
d- FASAB - Answer-B- OM
3 types of accounting - Answer-Financial, Managerial, Budgetary
Type of accounting that tracks affects of financial events on the financial position of an
entity - Answer-Financial
Type of accounting that tracks commitments, obligations & expenditures by purpose,
time and amount - Answer-Budgetary
Type of accounting used to gauge the cost effectiveness of operations to improve
efficiency - Answer-Managerial (cost accounting)
Phase of management cycle used to communicate accomplishments & resources
expended - Answer-Reporting
What entity defines GAAP for state/local governments - Answer-Governmental
Accounting Standards Board (GASB)
What entity defines GAAP for national government - Answer-Federal Accounting
Standards Advisory Board (FASAB)
Reports with condensed financial information in easy to read format - Answer-Popular,
Summary and/or Citizen Report
Solutions 2023 (Definite Pass)
Federalism - Answer-Power is distributed among different levels of government, no one
level has complete authority
Sovereignty - Answer-National government cant be sued by states or citizens without its
permission
Popular Sovereignty - Answer-Citizens hold ultimate authority through the ballot; even a
sovereign government is accountable to citizens
Primary Purpose of Government - Answer-Provide services to its citizens
10th Amendment - Answer-Aka - reserved Clause
National government cant dictate the manner in which state and local programs should
operate
Why are state and local governments called labratories of democracy? - Answer-They
experiment with policies and procedures that are later adopted at the national level
(upward influence)
At the state level, the legislative branch is sometimes referred to as? - Answer-General
Assembly
Cities, towns & villages are ________________ governments - Answer-Municipal
What is the type of municipal government with two branches: executive (mayor), and
legislative (council) - Answer-Mayor-Council form
The form of municipal government where the executive and legislative branches are
combined into the authority of commissioners - Answer-Commission form
Type of municipal government where council members embody the legislative branch &
a manager serves at discretion of the council- not the voters - Answer-Council Manager
Form
The first 10 amendments are known as ______________ - Answer-The Bill of RIghts
How many articles are in the Constitution? - Answer-Seven
No one branch of government can exercise complete control over another - Answer-
Separation of Powers
,Under _________________, courts can overturn laws if deemed unconstitional -
Answer-Judicial Review
Since each house may pass a different version of a bill, differences are reconciled in
___________________ - Answer-Conference Committees
Congress may override the presidents veto with a _______________ vote in BOTH
houses - Answer-Two-Thirds
The 3 branches of government can further be divided into ____________________ -
Answer-Components
Which branch has the most components - Answer-Executive
Many government components take the form of ________________, either permanent
of temporary - Answer-Commissions
The local government equivalent of a constitution - Answer-Charter
Put the following in order per hierarchy of government authorities: Laws, Executive
Orders, Constitution, Rules & Regulations - Answer-Constitution, Laws, Executive
Orders, Rules & Regulations
Which decision is most likely to be made during the "programming phase"
a- broad goals of government
b- whether to lease space of construct a new building
c- how to respond to an audit report
d- appropriate accounting methods - Answer-B - Make or buy done decisions done
during programming phase
Which is not a typical output of programming phase?
a- most cost effective means to acheive objectives
b- specific, measurable objectives
c- level of resources requested
d- reprogramming requests - Answer-D - reprogramming requests
Typically, which type of budget will be in effect the longest?
a-operations
b- cash flow
c- capital - Answer-C- Capital
, What is the purpose of forecasting in regards to the budget? - Answer-To determine the
likely level of economic activity & economic trends and how they will impact revenue &
expenses
What publication of the national government provides an effective guide to internal
controls & may be applied at all levels of government - Answer-Standards for Internal
Control in the federal government (GAO)
Which of the following is least supported through financial accounting?
a- information about expenses and inter-governmental transfers
b- info about fund levels & disbursements
c-info about deposits and earmarked receipts
d- info about achievement of program outcomes - Answer-D - this requires non-financial
information
Which entity provides detailed instructions for completing performance & accountability
reports at the federal level?
a- AGA
b- OMB
c- GASB
d- FASAB - Answer-B- OM
3 types of accounting - Answer-Financial, Managerial, Budgetary
Type of accounting that tracks affects of financial events on the financial position of an
entity - Answer-Financial
Type of accounting that tracks commitments, obligations & expenditures by purpose,
time and amount - Answer-Budgetary
Type of accounting used to gauge the cost effectiveness of operations to improve
efficiency - Answer-Managerial (cost accounting)
Phase of management cycle used to communicate accomplishments & resources
expended - Answer-Reporting
What entity defines GAAP for state/local governments - Answer-Governmental
Accounting Standards Board (GASB)
What entity defines GAAP for national government - Answer-Federal Accounting
Standards Advisory Board (FASAB)
Reports with condensed financial information in easy to read format - Answer-Popular,
Summary and/or Citizen Report
