AIPM- Exam 3 (2025) Actual Exam
Questions and Answers A+ Graded
After .Congress .passes .the .DoD .Appropriations .Bill .and .the .President .signs .it,
.the .Office .of .Management .and .Budget .(OMB) .distributes .the .Budget .Authority
.to .DoD. .- .CORRECT .ANSWER .-Apportionment
Who .sends .apportions .funds .(Budget .Authority) .to .the .DoD .Comptroller .on .a
.quarterly, .annual, .or .other .periodic .basis .depending .on .the .appropriation? .-
.CORRECT .ANSWER .-Office .of .Management .and .Budget .(OMB)
Flow .of .funds: .- .CORRECT .ANSWER .-CONGRESS .= .APPROPRIATION
OFFICE .OF .MANAGEMENT& .BUDGET .= .APPORTIONMENT
DEPARTMENT .OF .DEFENSE .= .RELEASE
DEPARTMENT .OF .ARMY .= .ALLOCATION
Authority .granted .by .appropriation .law .to .enter .into .obligations .that .will .result
.in .immediate .or .future .outlays. .- .CORRECT .ANSWER .-Budget .Authority
What .does .the .Execution .Phase .in .the .PPBE .process .consist .of: .- .CORRECT
.ANSWER .-Commitment
Obligation
Expenditure
Outlay
An .administrative .reservation .of .funds, .made .upon .receipt .of .a .request .for
.spending. .- .CORRECT .ANSWER .-Commitment
Is .the .legal .reservation .of .funds .to .make .a .future .payment .of .money. .-
.CORRECT .ANSWER .-Obligation
A .charge .against .available .funds .evidenced .by .voucher, .claim, .or .other
.document .approved .by .a .competent .authority .(represents .the .actual .payment
.of .funds). .- .CORRECT .ANSWER .-Expenditure
Occurs .when .the .vendor .cashes .the .expenditure .check .and .money .flows .from
.the .Treasury .to .the .vendor .or .supplier. .- .CORRECT .ANSWER .-Outlay
Happens .when .a .program .office .has .a .history .of .under-utilizing .their .budget
.authority. .- .CORRECT .ANSWER .-Over-funding
Occurs .when .a .program .cannot .execute .its .planned .program .with .the .funds
.requested. .- .CORRECT .ANSWER .-Under-funding
, After .funds .have .passed .their .obligation .period .(e.g., .RDT&E .is .2 .years) .they .go
.into .the ._______ .for .5 .years .and .cannot .be .used .for .new .obligations .-
.CORRECT .ANSWER .-Expired .Account
After .the .5-year ."expired" .period .has .passed .the .funds .are .________ .and .can
.no .longer .be .used .- .CORRECT .ANSWER .-Cancelled
Prepared .for .all .appropriation .years .that .have .not .been .completely .expended,
.even .if .the .period .of .obligation .availability .has .expired. .- .CORRECT .ANSWER .-
Expenditure .Plans
Prepared .for .each .fiscal .year .of .funding .that .is .available .for .new .obligations. .-
.CORRECT .ANSWER .-Obligation .Plans
Requires .that .funds .appropriated .by .Congress .be .used .only .for .the .programs
.and .purposes .for .which .the .appropriation .is .made. .- .CORRECT .ANSWER .-
Misappropriation .Act
Prohibits .an .obligation .in .excess .of .the .appropriated .amount .or .amount
.permitted .by .agency .regulations. .(Forbids .contract .or .obligation .in .advance .of
.appropriations .and .requires .agency .regulations .to .monitor .and .fix
.responsibility .for .violations .of .the .act.) .- .CORRECT .ANSWER .-Anti-Deficiency
.Act
Funds .appropriated .for .a .particular .area .can .only .be .used .during .the .period .in
.which .the .appropriation .is .available .for .new .obligations. .- .CORRECT .ANSWER
.-The .Bona .Fide .Need .Rule
Permits .the .use .of .funds .for .purposes .other .than .those .originally .intended .by
.Congress. .- .CORRECT .ANSWER .-Reprogramming
Three .types .of .Reprogramming: .- .CORRECT .ANSWER .-Congressional .Prior
.Approval .Reprogramming
Internal .Reprogramming .
Below .Threshold .Reprogramming
Congressional .Prior .Approval .Reprogramming .are .used .when: .- .CORRECT
.ANSWER .-Congressional .Special .Interest .Item
Major .system .procurement .quantity .increases .
General .Transfer .Authority
Charaterisitics .of .Internal .Reprogramming .actions: .- .CORRECT .ANSWER .-No
.change .in .the .purpose .or .amounts .approved .by .Congress. .
Approved .by .the .DoD .Comptroller .
Administrative .realignment .of .funds
Transfer .of .funds .among .programs .within .an .appropriation .category, .but .it .is
.subject .to .certain .rules .and .limitations .(up .to .$20 .million .of .procurement .funds
Questions and Answers A+ Graded
After .Congress .passes .the .DoD .Appropriations .Bill .and .the .President .signs .it,
.the .Office .of .Management .and .Budget .(OMB) .distributes .the .Budget .Authority
.to .DoD. .- .CORRECT .ANSWER .-Apportionment
Who .sends .apportions .funds .(Budget .Authority) .to .the .DoD .Comptroller .on .a
.quarterly, .annual, .or .other .periodic .basis .depending .on .the .appropriation? .-
.CORRECT .ANSWER .-Office .of .Management .and .Budget .(OMB)
Flow .of .funds: .- .CORRECT .ANSWER .-CONGRESS .= .APPROPRIATION
OFFICE .OF .MANAGEMENT& .BUDGET .= .APPORTIONMENT
DEPARTMENT .OF .DEFENSE .= .RELEASE
DEPARTMENT .OF .ARMY .= .ALLOCATION
Authority .granted .by .appropriation .law .to .enter .into .obligations .that .will .result
.in .immediate .or .future .outlays. .- .CORRECT .ANSWER .-Budget .Authority
What .does .the .Execution .Phase .in .the .PPBE .process .consist .of: .- .CORRECT
.ANSWER .-Commitment
Obligation
Expenditure
Outlay
An .administrative .reservation .of .funds, .made .upon .receipt .of .a .request .for
.spending. .- .CORRECT .ANSWER .-Commitment
Is .the .legal .reservation .of .funds .to .make .a .future .payment .of .money. .-
.CORRECT .ANSWER .-Obligation
A .charge .against .available .funds .evidenced .by .voucher, .claim, .or .other
.document .approved .by .a .competent .authority .(represents .the .actual .payment
.of .funds). .- .CORRECT .ANSWER .-Expenditure
Occurs .when .the .vendor .cashes .the .expenditure .check .and .money .flows .from
.the .Treasury .to .the .vendor .or .supplier. .- .CORRECT .ANSWER .-Outlay
Happens .when .a .program .office .has .a .history .of .under-utilizing .their .budget
.authority. .- .CORRECT .ANSWER .-Over-funding
Occurs .when .a .program .cannot .execute .its .planned .program .with .the .funds
.requested. .- .CORRECT .ANSWER .-Under-funding
, After .funds .have .passed .their .obligation .period .(e.g., .RDT&E .is .2 .years) .they .go
.into .the ._______ .for .5 .years .and .cannot .be .used .for .new .obligations .-
.CORRECT .ANSWER .-Expired .Account
After .the .5-year ."expired" .period .has .passed .the .funds .are .________ .and .can
.no .longer .be .used .- .CORRECT .ANSWER .-Cancelled
Prepared .for .all .appropriation .years .that .have .not .been .completely .expended,
.even .if .the .period .of .obligation .availability .has .expired. .- .CORRECT .ANSWER .-
Expenditure .Plans
Prepared .for .each .fiscal .year .of .funding .that .is .available .for .new .obligations. .-
.CORRECT .ANSWER .-Obligation .Plans
Requires .that .funds .appropriated .by .Congress .be .used .only .for .the .programs
.and .purposes .for .which .the .appropriation .is .made. .- .CORRECT .ANSWER .-
Misappropriation .Act
Prohibits .an .obligation .in .excess .of .the .appropriated .amount .or .amount
.permitted .by .agency .regulations. .(Forbids .contract .or .obligation .in .advance .of
.appropriations .and .requires .agency .regulations .to .monitor .and .fix
.responsibility .for .violations .of .the .act.) .- .CORRECT .ANSWER .-Anti-Deficiency
.Act
Funds .appropriated .for .a .particular .area .can .only .be .used .during .the .period .in
.which .the .appropriation .is .available .for .new .obligations. .- .CORRECT .ANSWER
.-The .Bona .Fide .Need .Rule
Permits .the .use .of .funds .for .purposes .other .than .those .originally .intended .by
.Congress. .- .CORRECT .ANSWER .-Reprogramming
Three .types .of .Reprogramming: .- .CORRECT .ANSWER .-Congressional .Prior
.Approval .Reprogramming
Internal .Reprogramming .
Below .Threshold .Reprogramming
Congressional .Prior .Approval .Reprogramming .are .used .when: .- .CORRECT
.ANSWER .-Congressional .Special .Interest .Item
Major .system .procurement .quantity .increases .
General .Transfer .Authority
Charaterisitics .of .Internal .Reprogramming .actions: .- .CORRECT .ANSWER .-No
.change .in .the .purpose .or .amounts .approved .by .Congress. .
Approved .by .the .DoD .Comptroller .
Administrative .realignment .of .funds
Transfer .of .funds .among .programs .within .an .appropriation .category, .but .it .is
.subject .to .certain .rules .and .limitations .(up .to .$20 .million .of .procurement .funds