CDFM COMPREHENSIVE TEST 2026
QUESTIONS WITH ANSWERS GRADED A+
⩥ The Securities and Exchange Commission (SEC) entered into a 10-
year lease contract for the Constitution Center building in Washington,
D.C., which it planned to use as its headquarters. The entire lease was
estimated to cost between $371.7 million and $454.4 million (based on
the amount of space ultimately leased). This cost was between one third
and one half of the SEC's entire annual appropriation for Salaries and
Expenses (which included leases) of $1.1 billion. Thus, the SEC
intended to incrementally fund the lease over multiple years. Answer:
GAO found that because this was a 10-year firm term lease, it was non-
severable and should have been funded entirely at the time the lease was
entered into.
⩥ T/F? The FY 2015 RDT&E Army Appropriation (Pub. L. 113-76),
which is available for obligation until 30 September 2016, may be
obligated for the needs of FY 2015 and 2016; it is not available for the
needs of FY 2017. Answer: TRUE
⩥ T/F? When an authority other than the Economy Act is used for an
interagency agreement, the de-obligation provisions of 31 U.S.C. § 1535
may apply. If funds were properly obligated, they remain obligated and
can continue to be used by the other agency. Answer: FALSE
,⩥ Is defined as a change to a contract that requires the contractor to
perform additional work. The definition specifically excludes
adjustments necessary to pay claims or increases in contract price due to
the operation of an escalation clause in the contract. Answer: Contract
Change
⩥ If the appropriation has expired and if an obligation of funds from that
appropriation is required to provide funds for a program, project, or
activity to cover a contract change: Answer: 1. For the Department of
Defense, the Under Secretary of Defense (Comptroller) may approve
applicable obligations in excess of $4 million.
2. changes exceeding $25 million, the Under Secretary of Defense
(Comptroller) must notify Congress
⩥ Agencies will deposit collections authorized or required to be credited
to an account, but received after an account is closed, in? Answer:
Treasury as miscellaneous receipts.
⩥ T/F? After an account is closed, agencies may charge obligations (and
adjustments to obligations) formerly chargeable to the closed account
and not otherwise chargeable to another current agency appropriation to
any current agency account available for the same general purpose.
Answer: TRUE
⩥ Under an _____ _____, if a suit is filed prior to funds' expiration, a
federal court can enjoin the expiration of funds to allow for the payment
of a judgment. Answer: Equity Theory
, ⩥ There are four important exceptions to the general prohibition on
obligating funds after the period of availability: Answer: 1. Contract
Modifications;
2. Bid Protests
3. Terminations for Default; and
4. Terminations for Convenience (only in limited circumstances).
⩥ When a contract modification does not represent a new requirement or
liability, but instead only modifies the amount of the government's pre-
existing liability, then such a price adjustment is a? Answer: Bona fide
need of the same year in which funds were obligated for the original
contract.
⩥ In general, increases to the quantity of items to be delivered on a
contract are viewed as outside the scope of most changes clauses.
Answer: Thus, a modification to increase quantity will amount to a new
obligation chargeable to funds current at the time the modification is
made.
⩥ The IRS issued a task order with FY1 funds for a specific amount of
computer equipment under an ID/IQ contract. There was a cost underrun
(it cost less money), so the IRS proposed to modify to the task order in
FY2 to use the FY1 money it "saved" to purchase additional computers.
Answer: GAO opined that a modification of a contract to increase the
quantity constitutes a new obligation and is chargeable only to funds
QUESTIONS WITH ANSWERS GRADED A+
⩥ The Securities and Exchange Commission (SEC) entered into a 10-
year lease contract for the Constitution Center building in Washington,
D.C., which it planned to use as its headquarters. The entire lease was
estimated to cost between $371.7 million and $454.4 million (based on
the amount of space ultimately leased). This cost was between one third
and one half of the SEC's entire annual appropriation for Salaries and
Expenses (which included leases) of $1.1 billion. Thus, the SEC
intended to incrementally fund the lease over multiple years. Answer:
GAO found that because this was a 10-year firm term lease, it was non-
severable and should have been funded entirely at the time the lease was
entered into.
⩥ T/F? The FY 2015 RDT&E Army Appropriation (Pub. L. 113-76),
which is available for obligation until 30 September 2016, may be
obligated for the needs of FY 2015 and 2016; it is not available for the
needs of FY 2017. Answer: TRUE
⩥ T/F? When an authority other than the Economy Act is used for an
interagency agreement, the de-obligation provisions of 31 U.S.C. § 1535
may apply. If funds were properly obligated, they remain obligated and
can continue to be used by the other agency. Answer: FALSE
,⩥ Is defined as a change to a contract that requires the contractor to
perform additional work. The definition specifically excludes
adjustments necessary to pay claims or increases in contract price due to
the operation of an escalation clause in the contract. Answer: Contract
Change
⩥ If the appropriation has expired and if an obligation of funds from that
appropriation is required to provide funds for a program, project, or
activity to cover a contract change: Answer: 1. For the Department of
Defense, the Under Secretary of Defense (Comptroller) may approve
applicable obligations in excess of $4 million.
2. changes exceeding $25 million, the Under Secretary of Defense
(Comptroller) must notify Congress
⩥ Agencies will deposit collections authorized or required to be credited
to an account, but received after an account is closed, in? Answer:
Treasury as miscellaneous receipts.
⩥ T/F? After an account is closed, agencies may charge obligations (and
adjustments to obligations) formerly chargeable to the closed account
and not otherwise chargeable to another current agency appropriation to
any current agency account available for the same general purpose.
Answer: TRUE
⩥ Under an _____ _____, if a suit is filed prior to funds' expiration, a
federal court can enjoin the expiration of funds to allow for the payment
of a judgment. Answer: Equity Theory
, ⩥ There are four important exceptions to the general prohibition on
obligating funds after the period of availability: Answer: 1. Contract
Modifications;
2. Bid Protests
3. Terminations for Default; and
4. Terminations for Convenience (only in limited circumstances).
⩥ When a contract modification does not represent a new requirement or
liability, but instead only modifies the amount of the government's pre-
existing liability, then such a price adjustment is a? Answer: Bona fide
need of the same year in which funds were obligated for the original
contract.
⩥ In general, increases to the quantity of items to be delivered on a
contract are viewed as outside the scope of most changes clauses.
Answer: Thus, a modification to increase quantity will amount to a new
obligation chargeable to funds current at the time the modification is
made.
⩥ The IRS issued a task order with FY1 funds for a specific amount of
computer equipment under an ID/IQ contract. There was a cost underrun
(it cost less money), so the IRS proposed to modify to the task order in
FY2 to use the FY1 money it "saved" to purchase additional computers.
Answer: GAO opined that a modification of a contract to increase the
quantity constitutes a new obligation and is chargeable only to funds
