Other
CMFO EXAM STUDY GUIDE
- Course
- Institution
CMFO EXAM STUDY GUIDE
[Show more]
Content preview
CMFO EXAM STUDY GUIDEAccounts Receivable - A/R - Answers- Amounts owed to you by other parties, such as
taxpayers, other agencies & financial institutions and shown on its balance sheet as an
asset
Chart of Accounts - Answers- The standard system of account titles kept for accounting
records
- Flexible Chart of Accounts (FCOA)
-Use to organize and segregate expenditures, revenues, assets, and liabilities
Accounting Equation - Answers- Asset = Liabilities (reserve) + Fund Balance (surplus)
Dr = Cr + Cr
- Balance Sheet based on accounting equation
- Balance Sheet presents asset on the left-hand side
Steps In a Transaction (Accounting Entries) - Answers- 1. Business Transaction
(Source Document)
2. Journal Entry
3. General Ledger
4. Trial Balance
5. Finance Statements (Balance Sheet, Income Sheet)
Accounts Payable, A/P - Answers- The bills your municipalities owes to vendors and
other agencies such as the school district, county, and special district, shown on the
organization's balance sheet as a liability
Accrual Method - Answers- A system that records the sales (any types), regardless
when payment is made.
- Expenditure is recorded when goods or services are received, though the payment
may be deferred
Planning - Answers- This component involves defining goals and deciding how these
goals can best be achieved
Programming - Answers- This component plans for how resources will be used to
achieve the objectives that support the mission
Budgeting - Answers- The activities that encompass the development, implementation,
and evaluation of a plan for the provision of services and capital assets
Operations - Answers- Consists of the activities required to achieve objectives
Accounting - Answers- The recording and reporting of financial transactions
, Reporting - Answers- Provides citizens information about the city's stewardship of
resources and current financial status
Auditing - Answers- May involve an independent CPA following GAGAS
What are the three elements of an investment policy applicable to every municipality? -
Answers- 1. Primary Objectives
- Safety, Liquidity, Yield
2. Prudence
3. Ethics and Conflicts of Interest
This US invention divides & shares power between a national level & one or more sub-
national units of government: - Answers- Federal
Constitutionally, which branch of government is responsible for Implementing law &
policy? - Answers- Executive
What provides the legal basis for expenditures in Tennessee? - Answers- Budgets
Any new municipal government must be formed under ..... - Answers- General law
charters
The city's mayor prepares the budget and hires and fires employees under this charter. -
Answers- Mayor-aldermanic
When a private act charter municipality wants to amend its charter..... - Answers- The
state legislature must amend it
What elements are inherent responsibilities of a municipal finance officer? - Answers-
Duty of care and Duty of loyalty
Municipal property taxes are levied by the...... - Answers- Municipal governing board.
What is the most common type of operating budget? - Answers- Line item
Annual appropriations are synonymous with which of the following? - Answers- Budget
ordinance.
Although a capital budget is not required the next year's capital outlay must be
included..... - Answers- In the operating budget.
Balance Sheet - Answers- -Financial "Snapshot" of the organization at a given date in
time
-It lists assets, liabilities, and fund balance
-Real life example of accounting equation
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller GEEKA. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $12.49. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
67866 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now