AGA CGFM - Governmental Accounting Exam Review Guide
Questions and Answers 2024/2025
Private Sector Budget -correct answer Guide to operations. Used as a
benchmark for performance, goals for growth, or as a management tool for
planning.
Financial Reporting -correct answer Primary mechanism by which public
officials are able to demonstrate accountability.
Accountability -correct answer In gov't, it is the cornerstone of financial
reporting. Based on the belief that the gov't has a responsibility to report, the
public has a right to know, and the ultimate power belongs to the people.
Legal Accountability -correct answer The need to comply with various laws,
rules and regulations.
Performance accountability -correct answer Ensure that gov'ts. Act in an
efficient, effective or economic manner. Ensure that goals and objectives are met.
Fiscal Accountability -correct answer Responsible for raising resources and
allocating those resources to accomplish objectives. Financial reporting is an
important method used to demonstrate this type of accountability.
Operational Accountability -correct answer Must be good stewards of public
resources y making sure the resources are used appropriately. One way to
address this type of accountability is through the use of performance measures
and performance reporting.
Initiatives -correct answer Proposed laws or constitutional amendments placed
on the ballot by citizen petition.
, Referendums -correct answer Permit voters to cast ballots directly for (or
against) measures which, if passed, would become state statutes or
constitutional amendments.
Interperiod Equity -correct answer Analysis of why the financial position
improved, or deteriorated, helps to explain whether current-year taxpayers
passed on financial burdens to future-year taxpayers without related benefits.
Significant part of accountability and is fundamental to public administration.
Debt Ceiling -correct answer An explicit, legislated limit on the amount of public
debt that can be outstanding. Can be adjusted by enacting amendments to
earlier laws. An accountability mechanism that also allows Congress to monitor
the financial effects of spending and tax policies.
Financial Report Users -correct answer 1) Legislators
2) Other Oversight Organizations
3) Citizens
4) Investors
5) Creditors
6) Media
7) Financial Managers/Program Managers
9) Employees/Employee Organizations
Legislators -correct answer Charged with forming priorities for delivery of
services by the governmental entity. Uses financial statements for information
about available resources, operating results, and compliance with laws and
regulations.
Budgetary Apporiations -correct answer
Questions and Answers 2024/2025
Private Sector Budget -correct answer Guide to operations. Used as a
benchmark for performance, goals for growth, or as a management tool for
planning.
Financial Reporting -correct answer Primary mechanism by which public
officials are able to demonstrate accountability.
Accountability -correct answer In gov't, it is the cornerstone of financial
reporting. Based on the belief that the gov't has a responsibility to report, the
public has a right to know, and the ultimate power belongs to the people.
Legal Accountability -correct answer The need to comply with various laws,
rules and regulations.
Performance accountability -correct answer Ensure that gov'ts. Act in an
efficient, effective or economic manner. Ensure that goals and objectives are met.
Fiscal Accountability -correct answer Responsible for raising resources and
allocating those resources to accomplish objectives. Financial reporting is an
important method used to demonstrate this type of accountability.
Operational Accountability -correct answer Must be good stewards of public
resources y making sure the resources are used appropriately. One way to
address this type of accountability is through the use of performance measures
and performance reporting.
Initiatives -correct answer Proposed laws or constitutional amendments placed
on the ballot by citizen petition.
, Referendums -correct answer Permit voters to cast ballots directly for (or
against) measures which, if passed, would become state statutes or
constitutional amendments.
Interperiod Equity -correct answer Analysis of why the financial position
improved, or deteriorated, helps to explain whether current-year taxpayers
passed on financial burdens to future-year taxpayers without related benefits.
Significant part of accountability and is fundamental to public administration.
Debt Ceiling -correct answer An explicit, legislated limit on the amount of public
debt that can be outstanding. Can be adjusted by enacting amendments to
earlier laws. An accountability mechanism that also allows Congress to monitor
the financial effects of spending and tax policies.
Financial Report Users -correct answer 1) Legislators
2) Other Oversight Organizations
3) Citizens
4) Investors
5) Creditors
6) Media
7) Financial Managers/Program Managers
9) Employees/Employee Organizations
Legislators -correct answer Charged with forming priorities for delivery of
services by the governmental entity. Uses financial statements for information
about available resources, operating results, and compliance with laws and
regulations.
Budgetary Apporiations -correct answer
