CGFM Exam 1- Study Guide Questions
and Answers Graded A+
ERP - Correct answer-Enterprise Resource Planning
FSIO - Correct answer-Financial Systems Integration Office (within GSA)
GAO - Correct answer-Government Accountibility Office
GASB - Correct answer-Government Accounting Standards Board
OMB - Correct answer-Office of Management and Budget
SEA - Correct answer-Service Efforts and Accomplishments
Allotments - Correct answer-In the federal government, an agency's distribution of
apportioned budgetary authority to various components within the agency. After
the executive agency receives its apportionment, it allots budgetary authority to
specific components within the agency.
Apportionmnets - Correct answer-Definitions may vary at different levels of
government. At the federal level, OMB's approval to use a protion of the
legislatively approved budgetary authority.
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,Attestation engagements - Correct answer-Engagement primarily concerned with
examining or performing agreed upon procedures on a subject matter, or an
assertion about a subject matter, and reporting on the results. The subject matter
may be financial or nonfinancial and can be part of a financial audit or
performance audit. Possible subjects include reporting on an entity's internal
controls, compliance with law or performance measures.
Block grants - Correct answer-Intergovernmental provision of resources for
broadly defined purposes. Contrasts with category grants.
Category grants - Correct answer-Intergovernmental provision of resources to be
used for activities in a specific category of purpose. May be further classified as
discretionary grants or formula grants. Contrasts with block grants.
Central Management Agencies - Correct answer-Government agencies that provide
central management services to other components. Example would be a state
government hr office (that serves all state agencies) or the OMB at the federal
level.
Charter - Correct answer-Local government version of a constitution. States may
provide for the establishment of local governments through charters
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,Checks and balances - Correct answer-Process by which one branch of government
(legislative, executiv or judicial) can constrain actions of the other branches. Flows
from separation of powers.
Conflict of interest - Correct answer-Arises when one has personal interest in
matters relating to official duties or activities. Such conflicts can destroy
objectivity and independence and prevent the exercise of due care
Continuity of Operations - Correct answer-Refers to the efforts to ensure the
organization can sustain essential operations regardless of planned or unplanned
incidents or disruptions.
Data mining - Correct answer-Using special, computer-based techniques such as
filters and algorithms to extract meaningful information from large bodies of data
Diligence - Correct answer-Pursuing an event, action or assignment to a timely and
sufficient end or close
Discrestionary grants - Correct answer-Form of category grant. Transfers funds
between governments for a specific purpose; whether a grant is awarded and the
amount of the award depend on discretion of the entity providing the funds
Due care - Correct answer-To discharge professional responsibilities with
competence and diligence, to the best of one's ability, and with the same level of
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, ability and skill as others in similar positions. It also means to act in the best
interest of those served.
Earmarking - Correct answer-Variation on use of special funds. Revenue from
specific taxes or other sources is set aside for specific activities. One example is
the earmarking of gasoline taxes for highway improvements
Estate tax - Correct answer-Form of wealth tax. Levied on the estate of the
deceased person before assets are distributed to heirs
Ethics - Correct answer-A set of moral principles and values; the principles of
conduct governing an individual or a (professional) group. A complex system of
discipline that civilized societies impose on themselves through laws, customs,
standards, social etiquette and other rules to govern moral conduct
Excise tax - Correct answer-Form of consumption tax.
FASAB - Correct answer-Defines GAAP for entities of the federal government;
this includes the national government as a whole plus distinct components.
FASB - Correct answer-Defines GAAP for private sector entities. Occasionally,
GASB and FASAB make FASB standards applicable to national, state or local
government
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and Answers Graded A+
ERP - Correct answer-Enterprise Resource Planning
FSIO - Correct answer-Financial Systems Integration Office (within GSA)
GAO - Correct answer-Government Accountibility Office
GASB - Correct answer-Government Accounting Standards Board
OMB - Correct answer-Office of Management and Budget
SEA - Correct answer-Service Efforts and Accomplishments
Allotments - Correct answer-In the federal government, an agency's distribution of
apportioned budgetary authority to various components within the agency. After
the executive agency receives its apportionment, it allots budgetary authority to
specific components within the agency.
Apportionmnets - Correct answer-Definitions may vary at different levels of
government. At the federal level, OMB's approval to use a protion of the
legislatively approved budgetary authority.
©COPYRIGHT 2025, ALL RIGHTS RESERVED 1
,Attestation engagements - Correct answer-Engagement primarily concerned with
examining or performing agreed upon procedures on a subject matter, or an
assertion about a subject matter, and reporting on the results. The subject matter
may be financial or nonfinancial and can be part of a financial audit or
performance audit. Possible subjects include reporting on an entity's internal
controls, compliance with law or performance measures.
Block grants - Correct answer-Intergovernmental provision of resources for
broadly defined purposes. Contrasts with category grants.
Category grants - Correct answer-Intergovernmental provision of resources to be
used for activities in a specific category of purpose. May be further classified as
discretionary grants or formula grants. Contrasts with block grants.
Central Management Agencies - Correct answer-Government agencies that provide
central management services to other components. Example would be a state
government hr office (that serves all state agencies) or the OMB at the federal
level.
Charter - Correct answer-Local government version of a constitution. States may
provide for the establishment of local governments through charters
©COPYRIGHT 2025, ALL RIGHTS RESERVED 2
,Checks and balances - Correct answer-Process by which one branch of government
(legislative, executiv or judicial) can constrain actions of the other branches. Flows
from separation of powers.
Conflict of interest - Correct answer-Arises when one has personal interest in
matters relating to official duties or activities. Such conflicts can destroy
objectivity and independence and prevent the exercise of due care
Continuity of Operations - Correct answer-Refers to the efforts to ensure the
organization can sustain essential operations regardless of planned or unplanned
incidents or disruptions.
Data mining - Correct answer-Using special, computer-based techniques such as
filters and algorithms to extract meaningful information from large bodies of data
Diligence - Correct answer-Pursuing an event, action or assignment to a timely and
sufficient end or close
Discrestionary grants - Correct answer-Form of category grant. Transfers funds
between governments for a specific purpose; whether a grant is awarded and the
amount of the award depend on discretion of the entity providing the funds
Due care - Correct answer-To discharge professional responsibilities with
competence and diligence, to the best of one's ability, and with the same level of
©COPYRIGHT 2025, ALL RIGHTS RESERVED 3
, ability and skill as others in similar positions. It also means to act in the best
interest of those served.
Earmarking - Correct answer-Variation on use of special funds. Revenue from
specific taxes or other sources is set aside for specific activities. One example is
the earmarking of gasoline taxes for highway improvements
Estate tax - Correct answer-Form of wealth tax. Levied on the estate of the
deceased person before assets are distributed to heirs
Ethics - Correct answer-A set of moral principles and values; the principles of
conduct governing an individual or a (professional) group. A complex system of
discipline that civilized societies impose on themselves through laws, customs,
standards, social etiquette and other rules to govern moral conduct
Excise tax - Correct answer-Form of consumption tax.
FASAB - Correct answer-Defines GAAP for entities of the federal government;
this includes the national government as a whole plus distinct components.
FASB - Correct answer-Defines GAAP for private sector entities. Occasionally,
GASB and FASAB make FASB standards applicable to national, state or local
government
©COPYRIGHT 2025, ALL RIGHTS RESERVED 4
