CDFM Module 3 Exam Questions Fully Solved Latest Update 2025
41 USC 6301 Public Contracts (Contracting Under Feed and Forage Act) - Answers We can obligate
against contract authority for clothing, fuel and quarters, but not construction. 3.1.3
Basic Axiom of Fiscal Law - Answers Expenditure of public funds is proper only when authorized by
Congress, not that public funds may be expended unless prohibited by Congress 3.1.7
What gives fiscal authority? - Answers Constitution
Authorization Acts
Appropriation Acts
General Statutes (i.e. GAO Red Book)
CG Decisions and Courts 3.1.7
Constitutional Authority to Obligate and Expend Funds - Answers -Article 1, Section 7, empowers
Congress to pass bills for the raising of revenue, and delineates how bills will pass from the Congress to
the President for signature or veto.
-Article 1, Section 8, empowers Congress to collect taxes
-Article 1, Section 9, requires appropriations in law before money may be spent from the Treasury. 3.1.8
The Red Book - Answers Published by the GAO, information on proper use of appropriated funds 3.1.8
1921 Budget and Accounting Act - Answers -Established GAO 3.1.8
-Requires President to submit annual budget to Congress for all 3 branches of Government
-Created a budget office for the President (OMB) 3.1.9
Congressional Budget Act of 1974 - Answers Established House and Senate budget committees and the
Congressional Budget Office (CBO) 3.1.10
31 USC 13 and 15 - Answers Contains requirements for use, control, and accountability of funds 3.1.10
Fiduciary Certifier - Answers responsible for using appropriated funds properly 3.1.12
Pecuniary Certifier - Answers responsible for accuracy of disbursement of funds 3.1.12
31 USC 1301 - Answers Purpose of obligation 3.1.13
31 USC 1502 - Answers Time of obligation 3.1.13
, 31 USC 1341, 1342, 1517 - Answers Cornerstone of Anti Deficiency Act 3.1.29 Amount of obligation
3.1.13
Annual Authority - Answers Budgetary resources available for incurring new obligations for one fiscal
year or less 3.1.13
Multi-year authority - Answers Budgetary resources available for new obligations in excess of one fiscal
year 3.1.13
No year authority - Answers Budgetary resources available for new obligations for an indefinite period ,
until the purposes for which they were provided are carried out. 3.1.13 Account can be closed if purpose
has been fulfilled AND no disbursements have been made for two consecutive fiscal years. It goes from
current to cancelled; it never expires. 3.1.25
Amount - Answers definite authority versus indefinite authority
-definite specifies amount of authority available
-indefinite does not specify - amount is based on other factors 3.1.132
Purpose - Answers If you have no money for the purpose, you are violating the anti deficiency act. We
can only use the appropriations for the purpose authorized by the Congress. 3.1.14
Necessary Expense Doctrine - 3 tests
-Logical relationship to the appropriation sought to be changed (trash bags for trash cans)
-Not prohibited by law
-Not funded elsewhere 3.1.17
Personal use of Appropriations - Answers Appropriated funds cannot be used to purchase items that are
deemed personal or to promote an individual, e.g., coins with the picture or name of an individual.
3.1.16
Command Coins - Answers Authorized for distinguished citizens, military officers, and government
officials from foreign countries, prominent federal non-DoD, state and local officials 3.1.18
Services - Severable versus Non-Severable - Answers Severable services are for services that can be
completed within one fiscal year (i.e. maintenance and trash collection)
Non-Severable services cannot be separated into increments that will provide something useful before
the end of the fiscal year, i.e. overhauling a ship. The government will obligate the entire amount at the
outset. 3.1.20
41 USC 6301 Public Contracts (Contracting Under Feed and Forage Act) - Answers We can obligate
against contract authority for clothing, fuel and quarters, but not construction. 3.1.3
Basic Axiom of Fiscal Law - Answers Expenditure of public funds is proper only when authorized by
Congress, not that public funds may be expended unless prohibited by Congress 3.1.7
What gives fiscal authority? - Answers Constitution
Authorization Acts
Appropriation Acts
General Statutes (i.e. GAO Red Book)
CG Decisions and Courts 3.1.7
Constitutional Authority to Obligate and Expend Funds - Answers -Article 1, Section 7, empowers
Congress to pass bills for the raising of revenue, and delineates how bills will pass from the Congress to
the President for signature or veto.
-Article 1, Section 8, empowers Congress to collect taxes
-Article 1, Section 9, requires appropriations in law before money may be spent from the Treasury. 3.1.8
The Red Book - Answers Published by the GAO, information on proper use of appropriated funds 3.1.8
1921 Budget and Accounting Act - Answers -Established GAO 3.1.8
-Requires President to submit annual budget to Congress for all 3 branches of Government
-Created a budget office for the President (OMB) 3.1.9
Congressional Budget Act of 1974 - Answers Established House and Senate budget committees and the
Congressional Budget Office (CBO) 3.1.10
31 USC 13 and 15 - Answers Contains requirements for use, control, and accountability of funds 3.1.10
Fiduciary Certifier - Answers responsible for using appropriated funds properly 3.1.12
Pecuniary Certifier - Answers responsible for accuracy of disbursement of funds 3.1.12
31 USC 1301 - Answers Purpose of obligation 3.1.13
31 USC 1502 - Answers Time of obligation 3.1.13
, 31 USC 1341, 1342, 1517 - Answers Cornerstone of Anti Deficiency Act 3.1.29 Amount of obligation
3.1.13
Annual Authority - Answers Budgetary resources available for incurring new obligations for one fiscal
year or less 3.1.13
Multi-year authority - Answers Budgetary resources available for new obligations in excess of one fiscal
year 3.1.13
No year authority - Answers Budgetary resources available for new obligations for an indefinite period ,
until the purposes for which they were provided are carried out. 3.1.13 Account can be closed if purpose
has been fulfilled AND no disbursements have been made for two consecutive fiscal years. It goes from
current to cancelled; it never expires. 3.1.25
Amount - Answers definite authority versus indefinite authority
-definite specifies amount of authority available
-indefinite does not specify - amount is based on other factors 3.1.132
Purpose - Answers If you have no money for the purpose, you are violating the anti deficiency act. We
can only use the appropriations for the purpose authorized by the Congress. 3.1.14
Necessary Expense Doctrine - 3 tests
-Logical relationship to the appropriation sought to be changed (trash bags for trash cans)
-Not prohibited by law
-Not funded elsewhere 3.1.17
Personal use of Appropriations - Answers Appropriated funds cannot be used to purchase items that are
deemed personal or to promote an individual, e.g., coins with the picture or name of an individual.
3.1.16
Command Coins - Answers Authorized for distinguished citizens, military officers, and government
officials from foreign countries, prominent federal non-DoD, state and local officials 3.1.18
Services - Severable versus Non-Severable - Answers Severable services are for services that can be
completed within one fiscal year (i.e. maintenance and trash collection)
Non-Severable services cannot be separated into increments that will provide something useful before
the end of the fiscal year, i.e. overhauling a ship. The government will obligate the entire amount at the
outset. 3.1.20
