CDFM All Modules FISCAL LAW EXAM
QUESTIONS AND ANSWERS
T/F? A working capital (Revolving) fund or part of that fund cannot violate the Anti
Deficiency Act? - ANS-FALSE
Agencies are responsible for maintaining a system of accounting and internal controls to
avoid violations of the? - ANS-31 USC 1341, 1342, and 1517 ADA
The 2 provisions of the US Constitution that provide the underpinning for the budget
process are? - ANS-Article 1 Section 8 clause 1, Article 1 Section 9 clause 7
T/F? Article 2 section 8 empowers Congress to collect taxes and Section 9 requires
appropriations in law before money can be spent from the Treasury? - ANS-FALSE
The penalty for willfully and knowingly violating the Anti Deficiency Act is? - ANS-Up to
2 years and a $5,000 fine or both
Over obligation of an appropriation or funds and obligations or contracts in advance of
an appropriation is a violation of? - ANS-31 USC 1341a
________ appropriations is (are) no longer available for adjustments or payments any
adjustments will be charged to current same appropriation (1% max)? - ANS-Cancelled
Over-obligations of apportionments, allotments or other subdivision of funds are a
violation of? - ANS-31 USC 1517
T/F? Not knowingly or willfully committing a violation of the Anti-Deficiency Act does not,
by itself, justify a decision to not impose disciplinary action against the individual? -
ANS-TRUE
It is the responsibility of the _____ to review and approve the agency systems of
administrative control of funds to prevent violations of the Anti-Deficiency Act? - ANS-
OMB
Acceptance of voluntary service is a violation of? - ANS-31 USC 1342
Prescribe rules and procedures for budget execution. Many of the specific provisions
were previously enacted as Section 3679 of the revised statutes also known as the Anti-
Deficiency Act? - ANS-Chapters 13 and 15, 31 USC
,The Basic substantive legislation enacted by Congress that sets up or continues the
legal operation of a Federal program or agency either indefinitely or for a specific time
frame or sanctions a particular type of obligation or expenditure within a program is? -
ANS-Authorization
T/F? For no year and unexpired multiyear contracts, apportioned recoveries of prior
year obligations are available for new obligations? - ANS-TRUE
Is the shift from one purpose or activity to another within the same appropriations? -
ANS-Reprogramming
Is the shift from one purpose or activity to another between different appropriations? -
ANS-Transfer
The Package that lists all of the reprogramming actions and all sources and increases is
the? - ANS-Omnibus Reprogramming Request
The amount of obligational authority transferred from one agency bureau or account
that is set aside in a transfer appropriation account to carry out the purpose of the
parent appropriation is a (n)? - ANS-Allocations
The issuance of Treasury Warrants are the _____ ______ action taken after the
President signs the bill into law? - ANS-1st legal
The 3 Dimensions of Budget Resource Availability are? - ANS-Purpose, Time and
Amount
______is required for reprogramming that result in increases in procurement quantities
of major program end items, changes to Congressional Interest Items in an
Authorization Act, movement of funds between appropriations involving General
Transfer Authority? - ANS-Congressional Prior Approval
T/F? For expired accounts recoveries of prior year obligations are available for new
obligations incurred in current year? - ANS-FALSE
The system that measures and controls the use of the resources according to the
purposes for which budget authority was enacted and that records receipts and other
collections by source? - ANS-Budgetary Accounting
______ is (are) the authority provided by Federal law to incur financial obligations that
will result in immediate or future outlays. - ANS-Budget Authority
Are the reduction or cancellation of new budget authority; unobligated balances, new
loan guarantee commitments or limitations? - ANS-Sequestration appropriations
, A footnote to apportionments should specify that, "Pursuant to 31 USC 1553(b) not the
exceed 1% of the total appropriations for this account is apportioned for the purpose of
paying legitimate obligations related to canceled appropriations" This is called the? -
ANS-One Percent Requirement
Is any organizational, functional, programmatic, or other applicable subdivision, used to
delineate responsibilities under management control assessment procedures? - ANS-
Assessable Unit
The time frame for investigations of potential violations of the Anti deficiency Act,
including submission of the final report to the Under Secretary of Defense Comptroller
is? - ANS-9 months
The formal program management control was established in DoD with the? - ANS-
Federal Managers Financial Integrity Act of 1982
T/F? One goal of the Federal Managers Integrity Act is to establish internal controls that
make it easier to determine misuse and waste of agency funds or property and to
assure the accountability of assets? - ANS-TRUE
Establishes guidelines for reviewing internal controls? - ANS-Director OMB
Evaluates internal controls annually and submits to Congress and the President as a
report. The reports are to be available to the public, excluding classified information? -
ANS-Head of each Agency
OMB Circular that provides guidance on improving the accountability and effectiveness
of Federal programs and operations by using management controls? - ANS-A-123
Organization, policies, and procedures used to reasonably ensure that certain events
take place? - ANS-Management Controls
The ________ environment is the management and employees attempt to establish and
maintain an environment throughout the organization that sets a positive and supportive
attitude toward internal control and conscientious management? - ANS-Control
Statement on whether there is reasonable assurance that the agency's control are
achieving their intended objectives? - ANS-Statement of Assurance
Prescribes rules and procedures under which the President may withhold appropriated
funds from obligation? - ANS-Impoundment Control Act of 1974
A form of budget authority provided by law that permits Federal agencies to incur
obligations and make payments out of the Treasury for specified purposes is? - ANS-
Appropriations
QUESTIONS AND ANSWERS
T/F? A working capital (Revolving) fund or part of that fund cannot violate the Anti
Deficiency Act? - ANS-FALSE
Agencies are responsible for maintaining a system of accounting and internal controls to
avoid violations of the? - ANS-31 USC 1341, 1342, and 1517 ADA
The 2 provisions of the US Constitution that provide the underpinning for the budget
process are? - ANS-Article 1 Section 8 clause 1, Article 1 Section 9 clause 7
T/F? Article 2 section 8 empowers Congress to collect taxes and Section 9 requires
appropriations in law before money can be spent from the Treasury? - ANS-FALSE
The penalty for willfully and knowingly violating the Anti Deficiency Act is? - ANS-Up to
2 years and a $5,000 fine or both
Over obligation of an appropriation or funds and obligations or contracts in advance of
an appropriation is a violation of? - ANS-31 USC 1341a
________ appropriations is (are) no longer available for adjustments or payments any
adjustments will be charged to current same appropriation (1% max)? - ANS-Cancelled
Over-obligations of apportionments, allotments or other subdivision of funds are a
violation of? - ANS-31 USC 1517
T/F? Not knowingly or willfully committing a violation of the Anti-Deficiency Act does not,
by itself, justify a decision to not impose disciplinary action against the individual? -
ANS-TRUE
It is the responsibility of the _____ to review and approve the agency systems of
administrative control of funds to prevent violations of the Anti-Deficiency Act? - ANS-
OMB
Acceptance of voluntary service is a violation of? - ANS-31 USC 1342
Prescribe rules and procedures for budget execution. Many of the specific provisions
were previously enacted as Section 3679 of the revised statutes also known as the Anti-
Deficiency Act? - ANS-Chapters 13 and 15, 31 USC
,The Basic substantive legislation enacted by Congress that sets up or continues the
legal operation of a Federal program or agency either indefinitely or for a specific time
frame or sanctions a particular type of obligation or expenditure within a program is? -
ANS-Authorization
T/F? For no year and unexpired multiyear contracts, apportioned recoveries of prior
year obligations are available for new obligations? - ANS-TRUE
Is the shift from one purpose or activity to another within the same appropriations? -
ANS-Reprogramming
Is the shift from one purpose or activity to another between different appropriations? -
ANS-Transfer
The Package that lists all of the reprogramming actions and all sources and increases is
the? - ANS-Omnibus Reprogramming Request
The amount of obligational authority transferred from one agency bureau or account
that is set aside in a transfer appropriation account to carry out the purpose of the
parent appropriation is a (n)? - ANS-Allocations
The issuance of Treasury Warrants are the _____ ______ action taken after the
President signs the bill into law? - ANS-1st legal
The 3 Dimensions of Budget Resource Availability are? - ANS-Purpose, Time and
Amount
______is required for reprogramming that result in increases in procurement quantities
of major program end items, changes to Congressional Interest Items in an
Authorization Act, movement of funds between appropriations involving General
Transfer Authority? - ANS-Congressional Prior Approval
T/F? For expired accounts recoveries of prior year obligations are available for new
obligations incurred in current year? - ANS-FALSE
The system that measures and controls the use of the resources according to the
purposes for which budget authority was enacted and that records receipts and other
collections by source? - ANS-Budgetary Accounting
______ is (are) the authority provided by Federal law to incur financial obligations that
will result in immediate or future outlays. - ANS-Budget Authority
Are the reduction or cancellation of new budget authority; unobligated balances, new
loan guarantee commitments or limitations? - ANS-Sequestration appropriations
, A footnote to apportionments should specify that, "Pursuant to 31 USC 1553(b) not the
exceed 1% of the total appropriations for this account is apportioned for the purpose of
paying legitimate obligations related to canceled appropriations" This is called the? -
ANS-One Percent Requirement
Is any organizational, functional, programmatic, or other applicable subdivision, used to
delineate responsibilities under management control assessment procedures? - ANS-
Assessable Unit
The time frame for investigations of potential violations of the Anti deficiency Act,
including submission of the final report to the Under Secretary of Defense Comptroller
is? - ANS-9 months
The formal program management control was established in DoD with the? - ANS-
Federal Managers Financial Integrity Act of 1982
T/F? One goal of the Federal Managers Integrity Act is to establish internal controls that
make it easier to determine misuse and waste of agency funds or property and to
assure the accountability of assets? - ANS-TRUE
Establishes guidelines for reviewing internal controls? - ANS-Director OMB
Evaluates internal controls annually and submits to Congress and the President as a
report. The reports are to be available to the public, excluding classified information? -
ANS-Head of each Agency
OMB Circular that provides guidance on improving the accountability and effectiveness
of Federal programs and operations by using management controls? - ANS-A-123
Organization, policies, and procedures used to reasonably ensure that certain events
take place? - ANS-Management Controls
The ________ environment is the management and employees attempt to establish and
maintain an environment throughout the organization that sets a positive and supportive
attitude toward internal control and conscientious management? - ANS-Control
Statement on whether there is reasonable assurance that the agency's control are
achieving their intended objectives? - ANS-Statement of Assurance
Prescribes rules and procedures under which the President may withhold appropriated
funds from obligation? - ANS-Impoundment Control Act of 1974
A form of budget authority provided by law that permits Federal agencies to incur
obligations and make payments out of the Treasury for specified purposes is? - ANS-
Appropriations
