CMFO Municipal Finance Administration
Verified Multiple Choice and Conceptual Actual
Emended Exam Questions With Reviewed 100%
Correct Detailed Answers
Guaranteed Pass!!Current Update
1. Name four sources of law - ANSWER Constitutions, Administrative
Rules & Regulations, Statutes, Common Law
2. Emergency Appropriations must be adopted by - ANSWER No less than
2/3 of the full governing body
3. A governing body may increase its appropriations cap to - ANSWER
3.5% by passing a cost of living adjustment ordinance
4. A municipality with a population of 7,350 must adopt a capital budget
program for - ANSWER 3 years
5. The Reserve for Uncollected Taxes is - ANSWER An appropriation
required by statute to cover the cash flow requirements of the school,
county, and municipal obligations
6. How are over-expenditures of appropriations required to be raised? -
ANSWER In full, subject to "CAP"
,7. Current Fund appropriations for accumulated absence liabilities must be -
ANSWER Deposited in a dedicated trust fund
Cannot be used for any other purpose unless first approved by the Local
Finance Board
Must not exceed the value of the total accumulated absences, less any amount
reserved from prior years appropriations and held in the trust fund
ALL OF THE ABOVE
8. Dedicated by rider revenues are accounted for in the - ANSWER Trust
Fund
9. Amount to be raised by taxation - ANSWER The difference between
amount of appropriations for the budget year and the anticipated revenues
is the
10.Contingent in a municipal budget is limited to ______ of the total
operations - ANSWER 3%
11.The Local Budget Law is referenced as NJSA - ANSWER 40A:4-1, et. seq.
12.After closing the public hearing on the municipal budget, the governing
body may - ANSWER Amend the budget, Adopt the budget, Continue
the public hearing until another time, ALL OF THE ABOVE
,13.Who must approve Dedication by Riders prior to spending of public funds? -
ANSWER The Director of the Division of Local Government Services
14.The a given budget year, budget transfers between appropriation reserves
are permitted:q - ANSWER During the first three months of the
succeeding year
15.A municipal budget constitutes two functions of authority which are: -
ANSWER The establishment of appropriations necessary to meet
expenditures and the authority to tax to provide revenue
16.The appropriations for Pension and Social Security in a municipal budget are
referred to as - ANSWER Statutory Expenditures
17.Resolutions authorizing the transfer of appropriations require what vote of
the full membership of the governing body - ANSWER 2/3rds of the full
membership
18.The four major categories of revenues anticipated in a municipal budget are
- ANSWER Surplus, miscellaneous revenue, taxes and delinquent taxes
19.An over-expenditure of appropriation and a prior year bill are known as
what type of appropriation in a municipal budget - ANSWER Deferred
charge
, 20.The certification of new construction or improvements by the local tax
assessor, and the amount of local taxes that would have been generated
would increase - ANSWER The "CAP" base
21.Monies transferred to a municipality by the board of trustees of a municipal
free public library may be anticipated in the municipal budget for the
purpose of (40A:4-25.1) - ANSWER Reducing the amount to be raised
by taxation in the municipal budget
22.In which budget must a deficit in a municipal utility be raised - ANSWER
Current fund-by tax raise
23.A service transfer from another local government utility to Anytown, NJ
results in - ANSWER a decrease to the transferring units' cap base
24.Chapter 159 amendments - ANSWER Additions to the budget after
adoption are generally referred to as
25.January 31 - ANSWER By statute, the temporary budget must be
adopted in calendar year towns between January 1st and
26.Miscellaneous revenues may: - ANSWER Be anticipated in the budget
up to the amount received in cash in the preceding year
Be anticipated in the budget in an amount greater than was received cash in
the preceding year when supported by documentation
A or C
Verified Multiple Choice and Conceptual Actual
Emended Exam Questions With Reviewed 100%
Correct Detailed Answers
Guaranteed Pass!!Current Update
1. Name four sources of law - ANSWER Constitutions, Administrative
Rules & Regulations, Statutes, Common Law
2. Emergency Appropriations must be adopted by - ANSWER No less than
2/3 of the full governing body
3. A governing body may increase its appropriations cap to - ANSWER
3.5% by passing a cost of living adjustment ordinance
4. A municipality with a population of 7,350 must adopt a capital budget
program for - ANSWER 3 years
5. The Reserve for Uncollected Taxes is - ANSWER An appropriation
required by statute to cover the cash flow requirements of the school,
county, and municipal obligations
6. How are over-expenditures of appropriations required to be raised? -
ANSWER In full, subject to "CAP"
,7. Current Fund appropriations for accumulated absence liabilities must be -
ANSWER Deposited in a dedicated trust fund
Cannot be used for any other purpose unless first approved by the Local
Finance Board
Must not exceed the value of the total accumulated absences, less any amount
reserved from prior years appropriations and held in the trust fund
ALL OF THE ABOVE
8. Dedicated by rider revenues are accounted for in the - ANSWER Trust
Fund
9. Amount to be raised by taxation - ANSWER The difference between
amount of appropriations for the budget year and the anticipated revenues
is the
10.Contingent in a municipal budget is limited to ______ of the total
operations - ANSWER 3%
11.The Local Budget Law is referenced as NJSA - ANSWER 40A:4-1, et. seq.
12.After closing the public hearing on the municipal budget, the governing
body may - ANSWER Amend the budget, Adopt the budget, Continue
the public hearing until another time, ALL OF THE ABOVE
,13.Who must approve Dedication by Riders prior to spending of public funds? -
ANSWER The Director of the Division of Local Government Services
14.The a given budget year, budget transfers between appropriation reserves
are permitted:q - ANSWER During the first three months of the
succeeding year
15.A municipal budget constitutes two functions of authority which are: -
ANSWER The establishment of appropriations necessary to meet
expenditures and the authority to tax to provide revenue
16.The appropriations for Pension and Social Security in a municipal budget are
referred to as - ANSWER Statutory Expenditures
17.Resolutions authorizing the transfer of appropriations require what vote of
the full membership of the governing body - ANSWER 2/3rds of the full
membership
18.The four major categories of revenues anticipated in a municipal budget are
- ANSWER Surplus, miscellaneous revenue, taxes and delinquent taxes
19.An over-expenditure of appropriation and a prior year bill are known as
what type of appropriation in a municipal budget - ANSWER Deferred
charge
, 20.The certification of new construction or improvements by the local tax
assessor, and the amount of local taxes that would have been generated
would increase - ANSWER The "CAP" base
21.Monies transferred to a municipality by the board of trustees of a municipal
free public library may be anticipated in the municipal budget for the
purpose of (40A:4-25.1) - ANSWER Reducing the amount to be raised
by taxation in the municipal budget
22.In which budget must a deficit in a municipal utility be raised - ANSWER
Current fund-by tax raise
23.A service transfer from another local government utility to Anytown, NJ
results in - ANSWER a decrease to the transferring units' cap base
24.Chapter 159 amendments - ANSWER Additions to the budget after
adoption are generally referred to as
25.January 31 - ANSWER By statute, the temporary budget must be
adopted in calendar year towns between January 1st and
26.Miscellaneous revenues may: - ANSWER Be anticipated in the budget
up to the amount received in cash in the preceding year
Be anticipated in the budget in an amount greater than was received cash in
the preceding year when supported by documentation
A or C
