CGFM Exam 1 Study Guide With Correct
Questions And Answers 2024
Association eof eGovernment eAccountants e- ecorrect eanswer.AGA
Certificate eof eExcellence ein eAccountability eReporting e- ecorrect eanswer.CEAR
Chief eFinancial eOfficer e- ecorrect eanswer.CFO
Certified eGovernment eFinancial eManager e- ecorrect eanswer.CGFM
Enterprise eResource ePlanning e- ecorrect eanswer.ERP
Federal eAccounting eStandards eAdvisory eBoard e- ecorrect eanswer.FASAB
Financial eAccounting eStandards eBoard e- ecorrect eanswer.FASB
Financial eSystems eIntegration eOffice e(within eGSA) e- ecorrect eanswer.FSIO
Generally eAccepted eAccounting ePrinciples e- ecorrect eanswer.GAAP
Government eAccountibility eOffice e- ecorrect eanswer.GAO
Government eAccounting eStandards eBoard e- ecorrect eanswer.GASB
Government ePerformance eand eResults eAct e- ecorrect eanswer.GPRA
Office eof eManagement eand eBudget e- ecorrect eanswer.OMB
Performance eand eAccountability eReport e- ecorrect eanswer.PAR
Service eEfforts eand eAccomplishments e- ecorrect eanswer.SEA
Principle ethat ein ea edemocracy, egovernment eoperates eat ethe econsent eof ethe epeople.
eTherefore eit emust eanswer eto ethe epeople efor eits eactions eand eresults, eincluding ethe etaking
eand eusing eof ethe epeople's eresources. e- ecorrect eanswer.Accountability
,In ethe efederal egovernment, ean eagency's edistribution eof eapportioned ebudgetary eauthority
eto evarious ecomponents ewithin ethe eagency. eAfter ethe eexecutive eagency ereceives eits
eapportionment, eit eallots ebudgetary eauthority eto especific ecomponents ewithin ethe eagency.
e- ecorrect eanswer.Allotments
At ethe efederal elevel, ea elaw estating ethat eofficials ecan ebe efined eand/or ejailed eif ethey
eobligate ethe egovernment eto espend efunds ebeyond ethe elegally eauthorized epurpose, etime,
eor eamount. e- ecorrect eanswer.Anti-Deficiency eAct
Definitions emay evary eat edifferent elevels eof egovernment. eAt ethe efederal elevel, eOMB's
eapproval eto euse ea eprotion eof ethe elegislatively eapproved ebudgetary eauthority. e- ecorrect
eanswer.Apportionmnets
Budget ethat ehas ebeen epassed eby ethe elegistlative ebranch; ehas eeffect eof elaw. e- ecorrect
eanswer.Appropriated eBudget
A elegistlative eenactment e(law, estatute eor eordinance) ethat ecreates espending eauthority;
ethe elegal eauthority eto eincur eexpenses eand espend emoney. e- ecorrect
eanswer.Appropriation
Engagement eprimarily econcerned ewith eexamining eor eperforming eagreed eupon
eprocedures eon ea esubject ematter, eor ean eassertion eabout ea esubject ematter, eand ereporting
eon ethe eresults. eThe esubject ematter emay ebe efinancial eor enonfinancial eand ecan ebe epart eof
ea efinancial eaudit eor eperformance eaudit. ePossible esubjects einclude ereporting eon ean
eentity's einternal econtrols, ecompliance ewith elaw eor eperformance emeasures. e- ecorrect
eanswer.Attestation eengagements
Legislative eenactment ethat eapproves eprograms; eprescribes ewhat eactivities ean eagency
emay epursue eif efunding eis eavailable. e- ecorrect eanswer.Authorization
Intergovernmental eprovision eof eresources efor ebroadly edefined epurposes. eContrasts ewith
ecategory egrants. e- ecorrect eanswer.Block egrants
Forecasts eand econtrols espending efor e"big eticket" eitems ethat eare eacquired eand eused eover
ea eperiod eof eseveral eyears, esuch eas econstruction eprojects eand emajor eequipment
epurchases. eUsed eat estate eand elocal elevels. e- ecorrect eanswer.Capital eBudget
Capital eleases eis ea elease efo ereal eproperty ethat emeets edefined ecriteria erequiring ethe
egovernment eto ereport ethe eproperty eas eit epurchased elong eterm edebt e- ecorrect
eanswer.Capital elease
Forecasts ethe etiming eas ewell eas eamount eof ecash eflows efor ethe eyear. eUsed eto eproject
erequired ecash elevels. e- ecorrect eanswer.Cash-flow ebudget
,Intergovernmental eprovision eof eresources eto ebe eused efor eactivities ein ea especific
ecategory eof epurpose. eMay ebe efurther eclassified eas ediscretionary egrants eor eformula
egrants. eContrasts ewith eblock egrants. e- ecorrect eanswer.Category egrants
Government eagencies ethat eprovide ecentral emanagement eservices eto eother ecomponents.
eExample ewould ebe ea estate egovernment ehr eoffice e(that eserves eall estate eagencies) eor ethe
eOMB eat ethe efederal elevel. e- ecorrect eanswer.Central eManagement eAgencies
An eAGA eprogram ethat ehelps efederal eagencies eand etheir ecomponents eto eproduce
eeffective, ehigh-quality ePerformance eand eAccountability eReports e- ecorrect eanswer.CEAR
Form eof eshared egovernment efinancing. eIn ea etypical eform, eseveral efinancial einstitutions
eshare ein ea eloan earrangement ewith ea egovernment eentity. e- ecorrect eanswer.Certificate eof
eParticipation
Local egovernment eversion eof ea econstitution. eStates emay eprovide efor ethe eestablishment
eof elocal egovernments ethrough echarters e- ecorrect eanswer.Charter
Process eby ewhich eone ebranch eof egovernment e(legislative, eexecutiv eor ejudicial) ecan
econstrain eactions eof ethe eother ebranches. eFlows efrom eseparation eof epowers. e- ecorrect
eanswer.checks eand ebalances
1990 elaw ethat, eamong eother eprovisions, erequires ethe efederal egovernment's emajor
eexecutive ebranch eagencies eto ehave ea eCFO. ePrescribes eduties eand ereporting
erequirements, eand erequires eaudited efinancial estatements e- ecorrect eanswer.CFO eAct
Government ecomponents eestablished eby elaw, estatuted eor eordinance. eMay ebe
epermanent eor etemporary. eBecause ethey eare eestablished eby elaw, emay ehave egreater
eautonomy eand eauthority ethan egovernment ecomponents ethat eare eadministratively
eestablished. eEx. eFederal eCommunication eCommision e- ecorrect eanswer.Commissions
Organized eunits eof egovernment esuch eas eagencies, eoffices eand edepartments. eFound ein
eall ebranches eof egovernment eat eall elevels. e- ecorrect eanswer.Components
Arises ewhen eone ehas epersonal einterest ein ematters erelating eto eofficial eduties eor eactivities.
eSuch econflicts ecan edestroy eobjectivity eand eindependence eand eprevent ethe eexercise eof
edue ecare e- ecorrect eanswer.Conflict eof einterest
Broad ecategory eof etax ethat eincludes esales, euse, eexcise eand evalue-added etaxes e- ecorrect
eanswer.Consumption eTaxes
Refers eto ethe eefforts eto eensure ethe eorganization ecan esustain eessential eoperations
eregardless eof eplanned eor eunplanned eincidents eor edisruptions. e- ecorrect
eanswer.Continuity eof eOperations
, Legal erequirements epertaining eto ea especific ebond eissue. eTypically edefine ethe ematurity
edate, erevenue estream ethat ewill ebe eused eto erepay ethe edebt, einterest erate eand erepayment
eschedule. eMay erequire ea esinking efund eand emay especify econditions ethat emust ebe emet
ebefore enew edebt ecan ebe eissued. e- ecorrect eanswer.Covenant e(bond)
Independent eorganizations ethat eassess ethe ecredit eworthiness eof edebt. eThree emajor
erating eagenciew eare eStandard e& ePoors, eMoody's eInvestor eService eand eFitches erating e-
ecorrect eanswer.Credit-rating eagencies
Using especial, ecomputer-based etechniques esuch eas efilters eand ealgorithms eto eextract
emeaningful einformation efrom elarge ebodies eof edata e- ecorrect eanswer.Data emining
Money eowed eby ethe eentity eto eindividual eor eorganizational ecreditors, eususally eas ea eresult
eof eplanned eshort- eor elong-term eborrowing eto efinance egovernment eobjectives e- ecorrect
eanswer.Debt
Taxes elevied eto efinance ea especific eactivity. eProceeds eare edeposited einto ean eaccount
erestricted eto ethat eactivity. eAlso ereferred eto eas eearmarked eor erestricted etaxes. e- ecorrect
eanswer.Dedicated etax
Occurs ewhen egovernment eexpenditures efor ea especific efiscal eperiod eexceed erevenues
eand/or efinancial eresource einflows. e- ecorrect eanswer.Deficit
Pursuing ean eevent, eaction eor eassignment eto ea etimely eand esufficient eend eor eclose e-
ecorrect eanswer.Diligence
Form eof ecategory egrant. eTransfers efunds ebetween egovernments efor ea especific epurpose;
ewhether ea egrant eis eawarded eand ethe eamount eof ethe eaward edepend eon ediscretion eof ethe
eentity eproviding ethe efunds e- ecorrect eanswer.Discrestionary egrants
Voluntary econtributions ethat econfer eno erights eor ebenefits eon ethe egiver e- ecorrect
eanswer.Donations
To edischarge eprofessional eresponsibilities ewith ecompetence eand ediligence, eto ethe ebest
eof eone's eability, eand ewith ethe esame elevel eof eability eand eskill eas eothers ein esimilar
epositions. eIt ealso emeans eto eact ein ethe ebest einterest eof ethose eserved. e- ecorrect
eanswer.Due ecare
Variation eon euse eof especial efunds. eRevenue efrom especific etaxes eor eother esources eis eset
easide efor especific eactivities. eOne eexample eis ethe eearmarking eof egasoline etaxes efor
ehighway eimprovements e- ecorrect eanswer.Earmarking
Major e"end-to-end" ecomputer esystem ethat elinks emany efunctions eand edepartments. eUsed
eto esimplify eand estreamline efinancial emanagement, eand eto eintegrate eoperation ewith
efinancial emanagement e- ecorrect eanswer.Enterprise eResoure ePlanning eSystem
Questions And Answers 2024
Association eof eGovernment eAccountants e- ecorrect eanswer.AGA
Certificate eof eExcellence ein eAccountability eReporting e- ecorrect eanswer.CEAR
Chief eFinancial eOfficer e- ecorrect eanswer.CFO
Certified eGovernment eFinancial eManager e- ecorrect eanswer.CGFM
Enterprise eResource ePlanning e- ecorrect eanswer.ERP
Federal eAccounting eStandards eAdvisory eBoard e- ecorrect eanswer.FASAB
Financial eAccounting eStandards eBoard e- ecorrect eanswer.FASB
Financial eSystems eIntegration eOffice e(within eGSA) e- ecorrect eanswer.FSIO
Generally eAccepted eAccounting ePrinciples e- ecorrect eanswer.GAAP
Government eAccountibility eOffice e- ecorrect eanswer.GAO
Government eAccounting eStandards eBoard e- ecorrect eanswer.GASB
Government ePerformance eand eResults eAct e- ecorrect eanswer.GPRA
Office eof eManagement eand eBudget e- ecorrect eanswer.OMB
Performance eand eAccountability eReport e- ecorrect eanswer.PAR
Service eEfforts eand eAccomplishments e- ecorrect eanswer.SEA
Principle ethat ein ea edemocracy, egovernment eoperates eat ethe econsent eof ethe epeople.
eTherefore eit emust eanswer eto ethe epeople efor eits eactions eand eresults, eincluding ethe etaking
eand eusing eof ethe epeople's eresources. e- ecorrect eanswer.Accountability
,In ethe efederal egovernment, ean eagency's edistribution eof eapportioned ebudgetary eauthority
eto evarious ecomponents ewithin ethe eagency. eAfter ethe eexecutive eagency ereceives eits
eapportionment, eit eallots ebudgetary eauthority eto especific ecomponents ewithin ethe eagency.
e- ecorrect eanswer.Allotments
At ethe efederal elevel, ea elaw estating ethat eofficials ecan ebe efined eand/or ejailed eif ethey
eobligate ethe egovernment eto espend efunds ebeyond ethe elegally eauthorized epurpose, etime,
eor eamount. e- ecorrect eanswer.Anti-Deficiency eAct
Definitions emay evary eat edifferent elevels eof egovernment. eAt ethe efederal elevel, eOMB's
eapproval eto euse ea eprotion eof ethe elegislatively eapproved ebudgetary eauthority. e- ecorrect
eanswer.Apportionmnets
Budget ethat ehas ebeen epassed eby ethe elegistlative ebranch; ehas eeffect eof elaw. e- ecorrect
eanswer.Appropriated eBudget
A elegistlative eenactment e(law, estatute eor eordinance) ethat ecreates espending eauthority;
ethe elegal eauthority eto eincur eexpenses eand espend emoney. e- ecorrect
eanswer.Appropriation
Engagement eprimarily econcerned ewith eexamining eor eperforming eagreed eupon
eprocedures eon ea esubject ematter, eor ean eassertion eabout ea esubject ematter, eand ereporting
eon ethe eresults. eThe esubject ematter emay ebe efinancial eor enonfinancial eand ecan ebe epart eof
ea efinancial eaudit eor eperformance eaudit. ePossible esubjects einclude ereporting eon ean
eentity's einternal econtrols, ecompliance ewith elaw eor eperformance emeasures. e- ecorrect
eanswer.Attestation eengagements
Legislative eenactment ethat eapproves eprograms; eprescribes ewhat eactivities ean eagency
emay epursue eif efunding eis eavailable. e- ecorrect eanswer.Authorization
Intergovernmental eprovision eof eresources efor ebroadly edefined epurposes. eContrasts ewith
ecategory egrants. e- ecorrect eanswer.Block egrants
Forecasts eand econtrols espending efor e"big eticket" eitems ethat eare eacquired eand eused eover
ea eperiod eof eseveral eyears, esuch eas econstruction eprojects eand emajor eequipment
epurchases. eUsed eat estate eand elocal elevels. e- ecorrect eanswer.Capital eBudget
Capital eleases eis ea elease efo ereal eproperty ethat emeets edefined ecriteria erequiring ethe
egovernment eto ereport ethe eproperty eas eit epurchased elong eterm edebt e- ecorrect
eanswer.Capital elease
Forecasts ethe etiming eas ewell eas eamount eof ecash eflows efor ethe eyear. eUsed eto eproject
erequired ecash elevels. e- ecorrect eanswer.Cash-flow ebudget
,Intergovernmental eprovision eof eresources eto ebe eused efor eactivities ein ea especific
ecategory eof epurpose. eMay ebe efurther eclassified eas ediscretionary egrants eor eformula
egrants. eContrasts ewith eblock egrants. e- ecorrect eanswer.Category egrants
Government eagencies ethat eprovide ecentral emanagement eservices eto eother ecomponents.
eExample ewould ebe ea estate egovernment ehr eoffice e(that eserves eall estate eagencies) eor ethe
eOMB eat ethe efederal elevel. e- ecorrect eanswer.Central eManagement eAgencies
An eAGA eprogram ethat ehelps efederal eagencies eand etheir ecomponents eto eproduce
eeffective, ehigh-quality ePerformance eand eAccountability eReports e- ecorrect eanswer.CEAR
Form eof eshared egovernment efinancing. eIn ea etypical eform, eseveral efinancial einstitutions
eshare ein ea eloan earrangement ewith ea egovernment eentity. e- ecorrect eanswer.Certificate eof
eParticipation
Local egovernment eversion eof ea econstitution. eStates emay eprovide efor ethe eestablishment
eof elocal egovernments ethrough echarters e- ecorrect eanswer.Charter
Process eby ewhich eone ebranch eof egovernment e(legislative, eexecutiv eor ejudicial) ecan
econstrain eactions eof ethe eother ebranches. eFlows efrom eseparation eof epowers. e- ecorrect
eanswer.checks eand ebalances
1990 elaw ethat, eamong eother eprovisions, erequires ethe efederal egovernment's emajor
eexecutive ebranch eagencies eto ehave ea eCFO. ePrescribes eduties eand ereporting
erequirements, eand erequires eaudited efinancial estatements e- ecorrect eanswer.CFO eAct
Government ecomponents eestablished eby elaw, estatuted eor eordinance. eMay ebe
epermanent eor etemporary. eBecause ethey eare eestablished eby elaw, emay ehave egreater
eautonomy eand eauthority ethan egovernment ecomponents ethat eare eadministratively
eestablished. eEx. eFederal eCommunication eCommision e- ecorrect eanswer.Commissions
Organized eunits eof egovernment esuch eas eagencies, eoffices eand edepartments. eFound ein
eall ebranches eof egovernment eat eall elevels. e- ecorrect eanswer.Components
Arises ewhen eone ehas epersonal einterest ein ematters erelating eto eofficial eduties eor eactivities.
eSuch econflicts ecan edestroy eobjectivity eand eindependence eand eprevent ethe eexercise eof
edue ecare e- ecorrect eanswer.Conflict eof einterest
Broad ecategory eof etax ethat eincludes esales, euse, eexcise eand evalue-added etaxes e- ecorrect
eanswer.Consumption eTaxes
Refers eto ethe eefforts eto eensure ethe eorganization ecan esustain eessential eoperations
eregardless eof eplanned eor eunplanned eincidents eor edisruptions. e- ecorrect
eanswer.Continuity eof eOperations
, Legal erequirements epertaining eto ea especific ebond eissue. eTypically edefine ethe ematurity
edate, erevenue estream ethat ewill ebe eused eto erepay ethe edebt, einterest erate eand erepayment
eschedule. eMay erequire ea esinking efund eand emay especify econditions ethat emust ebe emet
ebefore enew edebt ecan ebe eissued. e- ecorrect eanswer.Covenant e(bond)
Independent eorganizations ethat eassess ethe ecredit eworthiness eof edebt. eThree emajor
erating eagenciew eare eStandard e& ePoors, eMoody's eInvestor eService eand eFitches erating e-
ecorrect eanswer.Credit-rating eagencies
Using especial, ecomputer-based etechniques esuch eas efilters eand ealgorithms eto eextract
emeaningful einformation efrom elarge ebodies eof edata e- ecorrect eanswer.Data emining
Money eowed eby ethe eentity eto eindividual eor eorganizational ecreditors, eususally eas ea eresult
eof eplanned eshort- eor elong-term eborrowing eto efinance egovernment eobjectives e- ecorrect
eanswer.Debt
Taxes elevied eto efinance ea especific eactivity. eProceeds eare edeposited einto ean eaccount
erestricted eto ethat eactivity. eAlso ereferred eto eas eearmarked eor erestricted etaxes. e- ecorrect
eanswer.Dedicated etax
Occurs ewhen egovernment eexpenditures efor ea especific efiscal eperiod eexceed erevenues
eand/or efinancial eresource einflows. e- ecorrect eanswer.Deficit
Pursuing ean eevent, eaction eor eassignment eto ea etimely eand esufficient eend eor eclose e-
ecorrect eanswer.Diligence
Form eof ecategory egrant. eTransfers efunds ebetween egovernments efor ea especific epurpose;
ewhether ea egrant eis eawarded eand ethe eamount eof ethe eaward edepend eon ediscretion eof ethe
eentity eproviding ethe efunds e- ecorrect eanswer.Discrestionary egrants
Voluntary econtributions ethat econfer eno erights eor ebenefits eon ethe egiver e- ecorrect
eanswer.Donations
To edischarge eprofessional eresponsibilities ewith ecompetence eand ediligence, eto ethe ebest
eof eone's eability, eand ewith ethe esame elevel eof eability eand eskill eas eothers ein esimilar
epositions. eIt ealso emeans eto eact ein ethe ebest einterest eof ethose eserved. e- ecorrect
eanswer.Due ecare
Variation eon euse eof especial efunds. eRevenue efrom especific etaxes eor eother esources eis eset
easide efor especific eactivities. eOne eexample eis ethe eearmarking eof egasoline etaxes efor
ehighway eimprovements e- ecorrect eanswer.Earmarking
Major e"end-to-end" ecomputer esystem ethat elinks emany efunctions eand edepartments. eUsed
eto esimplify eand estreamline efinancial emanagement, eand eto eintegrate eoperation ewith
efinancial emanagement e- ecorrect eanswer.Enterprise eResoure ePlanning eSystem
