CMFO Verified Multiple Choice and Conceptual
Actual Emended Exam Questions With
Reviewed 100% Correct Detailed Answers
Guaranteed Pass!!Current Update
1. One major benefit of procurement cards is:
a) Reducing administrative burden for low-dollar purchases
b) Eliminating the need for procurement policies
c) Allowing employees to make personal purchases
d) Avoiding reconciliation with accounting systems
2. What internal control is essential when using procurement cards?
a) Spending limits and transaction review
b) Unlimited access to all employees
c) No need for reconciliation
d) Auto-approval of all charges
3. Procurement card activity should be monitored by:
a) The purchasing department and CFO
b) Only the cardholder
c) The vendor
d) External auditors only
4. What feature allows tracking procurement card purchases by line item?
a) Integration with the municipal accounting system
b) Verbal receipts from the cardholder
,c) Third-party reimbursement reports
d) Weekly verbal status meetings
Generally, bids must be advertised at least how many days before the opening of
the bid? - ANSWER ten days
5. Which of the following is required for a change order when it exceeds the 20%
limitation? - ANSWER a) The governing body must pass a resolution
b) A public advertisement of the change order must be made
c) The clerk must report the change order to the DLGS
6. Local government units that do not have a QPA have a bid threshold of -
ANSWER $17,500
7. The Appropriations Ledger must be reconciled on a: - ANSWER monthly
basis
8. Procurement cards - ANSWER
a) restrict the use of cards to certain individuals and c categories of items
b) establish a cumulative limit for a specific period of time
c) receive detailed reports of activities
d) interface with municipal accounting software to maintain internal controls
9. Procurement cards can be utilized for goods and services - ANSWER a)
when payment to a vendor is required in advance of delivery for goods and
services that cannot be
,obtained from another vendor at a comparable cost
b) when ordering, billing and payment for goods and services are made through a
computerized
electronic transaction such as the internet
b) when certification is not readily available by the contracting unit
10. Pursuant to N.J.S.A. 40A:11-36(3), sale of surplus items that exceed 15% of
the bid threshold must be: - ANSWER advertised in the official newspaper of
the local unit
11. When a local government agency experience an emergency that warrants the
immediate delivery of goods or services and in doing so, are unable to comply
with the "Pay-to-Play" provisions of N.J.S.A.
19:44A-20.4 et seq., the local government agency must file with Director of the
Division of Local Government Services an "Emergency Procurement Report,"
within ______ ____ of the date the contract was issued. - ANSWER a) 5 days
12. T/F - A vendor, contracted for the repainting of the interior of Town Hall at a
cost of $15,000, need not be registered as a contractor with the state. - ANSWER
FALSE
13. T/F - Purchase orders for products regulated by the NJ BPU do not need a
vendor's certification. - ANSWER TRUE
14. T/F - Surplus property may be sold through online auctions - ANSWER
TRUE
, 15. T/F - Municipalities are required to collect solid waste from apartment
complexes if the same service is provided to other residential units within the
municipality. - ANSWER TRUE
T/F - The CFO may purchase goods and services in excess of the bid threshold
from a state contract without any additional authorization. - ANSWER FALSE
T/F - The names and address of all individuals who own 10% or more of the stock
or interest in a corporation or partnership that is bidding on a public contract
must be disclosed. - ANSWER TRUE
T/F - All Business organizations that do business with a local unit in excess of 15%
of the bid threshold must obtain a business registration and, in some cases, a NJ
public works contractor registration prior to the receipt of bids, or in the case of
professional service contracts the award of contract. - ANSWER FALSE
T/F - Requests for Proposals may be used in lieu of formal bid specifications in the
competitive
contracting process - ANSWER TRUE
T/F - NJSA 40A:11-23 et.seq. requires a contracting unit to include a bid check list
and a form the acknowledgement of any addenda to the bid. - ANSWER TRUE
Actual Emended Exam Questions With
Reviewed 100% Correct Detailed Answers
Guaranteed Pass!!Current Update
1. One major benefit of procurement cards is:
a) Reducing administrative burden for low-dollar purchases
b) Eliminating the need for procurement policies
c) Allowing employees to make personal purchases
d) Avoiding reconciliation with accounting systems
2. What internal control is essential when using procurement cards?
a) Spending limits and transaction review
b) Unlimited access to all employees
c) No need for reconciliation
d) Auto-approval of all charges
3. Procurement card activity should be monitored by:
a) The purchasing department and CFO
b) Only the cardholder
c) The vendor
d) External auditors only
4. What feature allows tracking procurement card purchases by line item?
a) Integration with the municipal accounting system
b) Verbal receipts from the cardholder
,c) Third-party reimbursement reports
d) Weekly verbal status meetings
Generally, bids must be advertised at least how many days before the opening of
the bid? - ANSWER ten days
5. Which of the following is required for a change order when it exceeds the 20%
limitation? - ANSWER a) The governing body must pass a resolution
b) A public advertisement of the change order must be made
c) The clerk must report the change order to the DLGS
6. Local government units that do not have a QPA have a bid threshold of -
ANSWER $17,500
7. The Appropriations Ledger must be reconciled on a: - ANSWER monthly
basis
8. Procurement cards - ANSWER
a) restrict the use of cards to certain individuals and c categories of items
b) establish a cumulative limit for a specific period of time
c) receive detailed reports of activities
d) interface with municipal accounting software to maintain internal controls
9. Procurement cards can be utilized for goods and services - ANSWER a)
when payment to a vendor is required in advance of delivery for goods and
services that cannot be
,obtained from another vendor at a comparable cost
b) when ordering, billing and payment for goods and services are made through a
computerized
electronic transaction such as the internet
b) when certification is not readily available by the contracting unit
10. Pursuant to N.J.S.A. 40A:11-36(3), sale of surplus items that exceed 15% of
the bid threshold must be: - ANSWER advertised in the official newspaper of
the local unit
11. When a local government agency experience an emergency that warrants the
immediate delivery of goods or services and in doing so, are unable to comply
with the "Pay-to-Play" provisions of N.J.S.A.
19:44A-20.4 et seq., the local government agency must file with Director of the
Division of Local Government Services an "Emergency Procurement Report,"
within ______ ____ of the date the contract was issued. - ANSWER a) 5 days
12. T/F - A vendor, contracted for the repainting of the interior of Town Hall at a
cost of $15,000, need not be registered as a contractor with the state. - ANSWER
FALSE
13. T/F - Purchase orders for products regulated by the NJ BPU do not need a
vendor's certification. - ANSWER TRUE
14. T/F - Surplus property may be sold through online auctions - ANSWER
TRUE
, 15. T/F - Municipalities are required to collect solid waste from apartment
complexes if the same service is provided to other residential units within the
municipality. - ANSWER TRUE
T/F - The CFO may purchase goods and services in excess of the bid threshold
from a state contract without any additional authorization. - ANSWER FALSE
T/F - The names and address of all individuals who own 10% or more of the stock
or interest in a corporation or partnership that is bidding on a public contract
must be disclosed. - ANSWER TRUE
T/F - All Business organizations that do business with a local unit in excess of 15%
of the bid threshold must obtain a business registration and, in some cases, a NJ
public works contractor registration prior to the receipt of bids, or in the case of
professional service contracts the award of contract. - ANSWER FALSE
T/F - Requests for Proposals may be used in lieu of formal bid specifications in the
competitive
contracting process - ANSWER TRUE
T/F - NJSA 40A:11-23 et.seq. requires a contracting unit to include a bid check list
and a form the acknowledgement of any addenda to the bid. - ANSWER TRUE
