CGFM Exam 1: Section 3 2026 correct
answer
Purpose of planning - correct answers identify priorities and determine how goals will be
achieved
programming - correct answers usually is multi-year, cuts across responsibility centers
(departments, offices)
programming and budgeting have something in common - correct answers both are derivatives
of the planning phase
primary purpose of programming - correct answers determine the most cost effective means for
accomplishing goals and objectives
Factors to considers in programming phase - correct answers -entity’s mission, goals and
objectives
-policies and guidance of the chief executive and the legislature
Outcomes of programming phase - correct answers -identification of most cost effective means
to achieve objectives
-identification of personnel, dollars, equipment, resources
-specific, measurable objectives
-level of resources that will be requested
-decision of how resources will be distributed
, Major types of budget - correct answers operations, cash, and capital
In which way the budgetary information may be organized - correct answers program or object
class
Operating budget - correct answers -cover a limited period, usually 1 or 2 years
-specify planned revenues and expenditures through the budget period
Cash flow budget - correct answers -it is concerned with the specific timing of cash receipts and
expenditures
-forecast the timing, as well as the amount of cash flows for the year
-the purpose is to help plan the timing of receipts and expenditures so funds will actually be
available when it is time to make a payment
Capital budget - correct answers -cover big-ticket items that will support government operations
for several years.
-example: construction projects
treatment budget: purchase office stand alone laptop computers - correct answers operating
budget
treatment budget: purchase of an integrated computer system to support finance and
accounting transactions across several departments - correct answers capital budget
treatment budget: construction of a new building - correct answers capital budget
treatment budget: refurbishment of an existing building - correct answers operating budget or
capital budget, depending on the cost, extended of the work, and the number of future years
benefit
answer
Purpose of planning - correct answers identify priorities and determine how goals will be
achieved
programming - correct answers usually is multi-year, cuts across responsibility centers
(departments, offices)
programming and budgeting have something in common - correct answers both are derivatives
of the planning phase
primary purpose of programming - correct answers determine the most cost effective means for
accomplishing goals and objectives
Factors to considers in programming phase - correct answers -entity’s mission, goals and
objectives
-policies and guidance of the chief executive and the legislature
Outcomes of programming phase - correct answers -identification of most cost effective means
to achieve objectives
-identification of personnel, dollars, equipment, resources
-specific, measurable objectives
-level of resources that will be requested
-decision of how resources will be distributed
, Major types of budget - correct answers operations, cash, and capital
In which way the budgetary information may be organized - correct answers program or object
class
Operating budget - correct answers -cover a limited period, usually 1 or 2 years
-specify planned revenues and expenditures through the budget period
Cash flow budget - correct answers -it is concerned with the specific timing of cash receipts and
expenditures
-forecast the timing, as well as the amount of cash flows for the year
-the purpose is to help plan the timing of receipts and expenditures so funds will actually be
available when it is time to make a payment
Capital budget - correct answers -cover big-ticket items that will support government operations
for several years.
-example: construction projects
treatment budget: purchase office stand alone laptop computers - correct answers operating
budget
treatment budget: purchase of an integrated computer system to support finance and
accounting transactions across several departments - correct answers capital budget
treatment budget: construction of a new building - correct answers capital budget
treatment budget: refurbishment of an existing building - correct answers operating budget or
capital budget, depending on the cost, extended of the work, and the number of future years
benefit
