Government Accounting Reviewer
1st quiz (aint sure sa answer tho)
1.) The national budget consists of the sources and uses of government funds including sources from the following
except
a.) Taxes
b.) Borrowings
c.) Profit
d.) Regulatory fees
e.) None of the above
2.) It refers to the amount contracted by a duly authorized administrative officer for which the government is held
liable,
a.) Appropriation
b.) Allotment
c.) Disbursement
d.) Obligation
3.) Which government agency is empowered to issue accounting and auditing rules and regulations to be implemented
by government agencies?
a.) Department of budget and management
b.) Commission on Audit
c.) Department of Finance
d.) National Economic and Development Authority
4.) The National Budget is done in cyclical step yearly with four major stages as follows:
I. Budget accountability
II. Budget implementation and execution
III. Budget legislations
IV. Budget preparations
These stages may be arranged in a consecutive orderly manner as
a.) IV, III, II, I
b.) II, III, IV, I
c.) III, IV, III, II
d.) I, III, IV, II
5.) This problem is for questions 27 – A legislation approves the allocation of P100B funds to support the operations
of Entity A (a government agency) in the current year. At the start of first quarter, Entity A receives authorization
to incur obligations for a maximum amount of P45B in that quarter. Entity A extends half of that authorization to
its lower operating units. During the quarter, Entity A receives monthly authorization to disburse funds not to exceed
P15B per month. Entity A extends half of those monthly authorizations to its lower operating units. At the end of
the quarter, total obligations incurred amounted to P40B while total disbursements amounted to P35B.
The allocation of the P100B funds to Entity A is referred to as
a.) Allotment
b.) Appropriation
c.) Obligation
d.) d. Sub-allotment
6.) Government accounting differs in private or commercial accounting because it concerns with
a.) Accountability
b.) Profitability
7.) Arrange the following steps according to the sequence that they appear in the budget cycle.
I. Allotment
II. Disbursement Authority
III. Disbursement
IV. Appropriation
V. Incurrence of obligation
a.) IV, I, II, V and III
b.) IV, I V, III and II
c.) IV, I, V, II and III
d.) IV, V, I, II and III
8.) The Bureau of Treasury (BTR) is responsible for
a.) promulgating accounting and auditing rules and regulations.
b.) the formulation and implementation of the national budget with the goal of attaining the nation’s socio-
economic objectives
c.) receiving and keeping national funds and managing and controlling the disturbances thereof.
d.) directly implementing the projects of the government.
9.) Mr. C, a government employee entrusted with the custody of government funds, has lost the government funds
entrusted to him in a force majeure. What should Mr. C do to relieve him from liability?
a.) Mr. C should immediately notify the Head of Agency within 30 days
b.) Mr. C should immediately notify COA within 30 days
c.) Mr. C should immediately notify Bureau of Treasury within 30 days
d.) Mr. C should keep the event a secret and wait for next funds to arrive
10.) Which of the following financial statements is peculiar to a government entity?
a.) Balance Sheet
b.) Statement of Cash Flows
c.) Statement of Income
d.) Statement of Comparison of Budget and Actual Amounts
11.) According to the GAM for NGAs, the basis of accounting to be applied by government entities is the
a.) Cash basis
b.) Accrual basis
c.) Modified accrual basis
d.) All of these
12.) The budget approach applied in the national budgeting system or process is
a.) Performance-based budgeting approach
b.) Incremental budgeting
c.) Top-down budgeting
d.) Bottom-up budgeting
13.) Disbursement of government funds are most commonly made through
a.) MDS Checks
b.) Cash
c.) PCF
d.) Credit card
14.) Bottom-up budgeting starts with
a.) The national gov’t level
b.) The gov’t owned and controlled corporation
c.) The cabinet level
d.) The barangay level
15.) The allocation of the P100B funds to Entity A is authorized by
a.) Department of Budget and Management (DBM)
b.) Commission on Audit (COA)
c.) Bureau of Treasury (BTr)
d.) Congress
16.) It is an authorization issued by the DBM to NGAs to incur obligations. It is also referred to as Obligational
Authority.
a.) Appropriation
b.) Allotment
c.) Cash Allocation
d.) Release Orders
17.) Which of the following is a unique requirement of government accounting that is not required in the accounting
for business entities?
a.) The use of double-entry recording system
b.) The use of single-entry recording system
c.) The use of accrual basis of accounting
d.) The presentation of budget information in the financial statements
18.) Which of the following is not one of the fund clusters of a government entity?
a.) Regular Agency Fund
b.) Foreign Assisted Projects Fund
c.) Special Account-Locally Funded/Domestic Grants Fund
d.) Petty Cash Fund syempre walang PCF ang govt
here, extended means inilipat
19.) The half of the P15B monthly authorizations extended by Entity A (Central Office) to its lower operating units is
referred to as 15B ay para sa disbursement
a.) Cash Disbursement Ceiling
b.) Non-Cash Availment Authority
c.) Notice of Cash Allocation (NCA)
d.) Notice of Transfer of Allocation (NTA)
20.) Government resources must be utilized efficiently and effectively in accordance with the law. According to P.D.
No. 1445, who is directly responsible in implementing this policy?
a.) All employees who are entrusted with the possession of government resources.
b.) The head of the government agency.
c.) The COA.
d.) All elected officials
21.) The half of the P45B authorization extended by Entity A (Central Office) to its lower operating units is referred to
as 45B to incur obligations
a.) Allotment
b.) Appropriation
c.) Obligation
d.) Sub-allotment
22.) Arrange the following steps according to the sequence that they appear in the budget cycle.
I. Allotment
hearing muna
II. Bicameral Deliberations after non mag deliberate
tapos aapprove ni pres
III. Budget Accountability then i-allot ang budget
tapos accountability sa budget
IV. President’s enactment of the GAA
V. Budget Technical hearings with the DBM
a.) V, IV, II, I and III
b.) V, II, IV, I and III
c.) II, V, II, I and III
d.) V, I, II, IV and III
23.) Which of the following is not a source of revenue for the government?
a.) Taxes
b.) Fees collected by government agencies
c.) Grants and donations from other governments
d.) Contract price on government contracts awarded to private companies.
24.) Mr. A, a government employee entrusted with the custody of government funds, was instructed by Mr. B, a
politician to release funds for the acquisition of a car as a birthday gift for Mr. B's daughter who will be having her
18th birthday next week. To relieve Mr. A from any liability, what should Mr. A do?
a.) Mr. A shall not release the fund but rather notify Mr. B, in writing, that his instruction is illegal.
b.) Mr. A shall release the fund, and then notify Mr. B, in writing, that his instruction is illegal.
c.) Mr. A shall release the fund but retains 20% commission.
d.) Mr. A shall release the fund but requires Mr. B to promise, in writing, that the car shall be returned to the
government after his daughter's birthday.
25.) What is the legal basis of the COA in promulgating the GAM for NGAs?
a.) PD 1445 State Audit Code of the Philippines
b.) The Philippine Constitution
c.) RA 9298 The Philippine Accountancy Act of 2004
d.) Philippine Public Sector Accounting Standards
26.) In Entity A’s first quarter Statement of Appropriations, Allotments, Obligations, Disbursements and Balances, how
much is shown as “unobligated allotments?”
a.) P6B
b.) P5B
c.) P10B
d.) P15B
27.) This type of budget is prepared in such a way that estimated revenues exceed estimated expenditures.
a.) Balanced budget
b.) Excess budget
c.) Obligations budget
d.) Budget meal
28.) The P45B authorization is referred to as
a.) Allotment
b.) Appropriation
c.) Obligation
d.) Sub-allotment
29.) The P45B authorization is received by Entity A from
a.) DBM
b.) COA
c.) BTr
d.) Congress
30.) Which of the following best describes the P15B monthly authorizations?
a.) Allotment
b.) Obligation authority (e.g., Notice of Cash Allocation ‘NCA’)
c.) Disbursement authority (e.g., Notice of Cash Allocation ‘NCA’)
d.) Disbursement authority (e.g., Notice of Transfer of Allocation ‘NTA’)
31.) All of the following are requirements peculiar to a government entity. Which is not?
a.) Presenting budget information in the financial statements.
b.) Fund cluster accounting.
c.) Incorporating budgetary controls in the financial reporting system.
d.) Accrual basis of accounting.
32.) The Department of Budget and Management (DBM) is responsible for
a.) promulgating accounting and auditing rules and regulations.
b.) Management and control of government funds and moneys
c.) the formulation and implementations of the national budget with the goal of attaining the nation’s socio-
economic objectives.
d.) directly implementing the projects of the government.
33.) In Entity A’s first quarter Statement of Appropriations, Allotments, Obligations, Disbursements and Balances, how
much is shown as “unreleased appropriations?”
a.) P65B
b.) P60B
c.) P55B
d.) P45B
34.) The transfer of government funds from one officer to another requires the prior authorization of the
a.) Commission on Audit
b.) Head of Agency
c.) The President of the Republic of the Philippines
d.) Bureau of Treasury
35.) This summarizes an agency’s fiscal year plans and performance targets. It shows the agency’s physical and
financial plan, monthly cash program, estimate of monthly income, and list of obligations that are not year due and
demandable.
a.) Budget Execution Documents (BEDs)
b.) Special Allotment Release Order
c.) Statement of Approved Budget, Utilizations, Disbursements and Balances
d.) Aging of Due and Demandable Obligations
2nd Quiz (Sagot ni JC)
1.) Which of the following is focused more on profitability?
a.) Commercial organizations
b.) Government
c.) c. Non-profit organizations
d.) None of them
2.) Government accounting is basically
a.) Budgetary accounting
b.) Cost accounting
c.) Income accounting
d.) All of these
3.) The National budget once enacted into law becomes
a.) Annual General Appropriations Act
b.) Annual General Budgetary Act
c.) Annual General Income Law
d.) Annual General Expenditures Act
4.) Which of the following is not a logbook of budget registries used to monitor and control the use of public funds?
a.) Registry of Receipts and Revenue (RROR)
b.) Registry of Appropriations and Allotments (RAPAL)
c.) Registry of Allotments, Obligations and Disbursements (RAOD)
d.) Notice of Cash Allocations (NCA)
5.) S1-Taxes are the main sources of funds of the government.
S2-Government is oriented more on profitability, not accountability.
a.) S1-True; S2-True
b.) S1-False; S2-True
c.) S1-True; S2-False
d.) S1-False; S2-False
6.) Currently, the financial reporting of government entities is based on
a.) NGAS
b.) PD 1445
c.) GAM for NGAS
d.) Philippine Constitution
7.) S1. The principles in GAM for NGAs are similar to the principles in the PFRSs.
S2. The GAM for NGAS is promulgated primarily to harmonize government accounting standards with the U.S.
GAAP.
a.) S1-True; S2-True
b.) S1-False; S2-True
c.) S1-True; S2-False
d.) S1-False; S2-False
8.) Authorization by legislative body to allocate funds for specified purposes.
a.) Appropriation
b.) Obligation
c.) Allotment
d.) Disbursement
9.) Authorization to agencies to incur obligations.
a.) Appropriation
b.) Obligation
c.) Allotment
d.) Disbursement
10.) S1- Budget deliberations in the Congress starts with the House of Senate.
allotment S2- Appropriation is also called obligational authority.
a.) S1-True; S2-True
b.) S1-False; S2-True
c.) S1-True; S2-False
d.) S1-False; S2-False
11.) Used to monitor the budgeted amounts, actual obligations and remittances of revenue and other receipts.
a.) RROR
Registries of Revenue and Other Receipts (RROR)
b.) RAOD
c.) RAPAL
d.) RBUD
12.) Used to monitor appropriations and allotments to ensure that allotments will not exceed appropriations.
a.) RROR
b.) RAOD
c.) RAPAL Registries of Appropriations and Allotments (RAPAL)
d.) RBUD
13.) Pertain to capitalizable expenditures, e.g. construction and purchase of equipment.
a.) Personal services (PS)
b.) Maintenance and Other Operating Expenses (MOOE)
c.) Capital Outlay (CO)
d.) Financial Expenses (FE)
14.) Which is not true regarding the following?
a.) DBM issues the “budget call”
b.) Congress legislates the appropriations law
c.) COA is the external auditor of government
d.) BTr collects revenues for government
15.) The journal entry to record transactions in government starts with the receipt of
a.) RROR
b.) NCA NOTICE OF CASH ALLOCATION (NCA)
c.) RAPAL
d.) RAOD
16.) The receipt of NCA by an agency is credited to
a.) Cash_MDS
b.) Subsidy from National Government
c.) Cash-MDS Regular Fund
d.) None of the above
17.) It is the declared policy of the State that all resources of the government shall be managed, expended or utilized in
accordance with laws and regulations, and safeguarded against loss or wastage through illegal or improper
disposition, with a view to ensuring efficiency, economy and effectiveness in the operations of government. The
responsibility to take care that such policy is faithfully adhered to rests directly with the
a.) Chief or head of the government agency concerned
b.) Chief Accountant of the agency concerned
c.) Commission on Audit
d.) Budget Officer of the agency concerned
18.) S1-Every officer of any government agency whose duties permit or require the possession or custody of government
funds or property shall be accountable therefor and for the safekeeping thereof in conformity with law.
S2- Every AO shall not be properly bonded in accordance with law.
a.) S1-True; S2-True
b.) S1-False; S2-True
c.) S1-True; S2-False
d.) S1-False; S2-False
19.) Unless otherwise specifically provided by law, all revenues accruing to an entity by virtue of the provisions of
existing law, orders and regulations shall be deposited/remitted in the National Treasury (NT) or in any duly
authorized government depository, and shall accrue to the
a.) Special Fund
b.) Trust Fund
c.) General Fund
d.) Fiduciary Fund
20.) Except as may otherwise be specifically provided by law or competent authority, all moneys and property officially
received by a public officer in any capacity or upon any occasion must be accounted for as
a.) Private fund or property
b.) Either a or c
c.) Government fund or property
d.) Neither a nor c
21.) Amounts received in trust and from business-type activities of government may be separately recorded and
disbursed in accordance with such rules and regulations as may be determined by a Permanent Committee composed
of the following, except
a.) DOF Secretary as Chairman
b.) DBM Secretary as Member
c.) COA Chairman as Member
d.) NEDA Secretary as Member
22.) Where mechanical devices (e.g. electronic official receipt) are used to acknowledge cash receipts, it requires the
approval of the
a.) Commission on Audit
b.) President of the Philippines
c.) Congress
d.) Securities and Exchange Commission
23.) S1- At no instance shall temporary receipts be issued to acknowledge the receipt of public funds.
S2- Pre-numbered ORs shall be issued in strict numerical sequence. All copies of each receipt shall be exact copies
or carbon reproduction in all respects of the original.
a.) S1-True; S2-True
b.) S1-False; S2-True
c.) S1-True; S2-False
d.) S1-False; S2-False
24.) S1-No money shall be paid out of any public treasury or depository except in pursuance of an appropriation law or
other specific statutory authority.
S2- Government funds or property shall be spent or used solely for public purposes.
a.) S1-True; S2-True
b.) S1-False; S2-True
c.) S1-True; S2-False
d.) S1-False; S2-False
25.) S1-Trust funds shall be available and may be spent only for the specific purpose for which the trust was created or
the funds received.
S2-Fiscal responsibility shall, to the greatest extent, be shared by all those exercising authority over the financial
affairs, transactions, and operations of the government agency.
a.) S1-True; S2-True
b.) S1-False; S2-True
c.) S1-True; S2-False
d.) S1-False; S2-False
3rd Quiz (From Riaa)
1.) It is empowered under the Philippine Constitution to promulgate accounting and auditing rules and regulations in
the government sector.
a.) DBM
b.) BTr
c.) COA
d.) DOF
2.) Known as State Auditing Code of the Philippines
a.) PD 445
b.) PD 1445
c.) PD4415
d.) PD 4145
3.) It is the one which causes the preparation and consolidation of the national budget of all government agencies and
offices.
a.) DBM
b.) COA
c.) BTr
d.) DOF
4.) The national budget will be deliberated upon by both Houses of Congress and their Bilateral Committee and will
be enacted into
a.) an Annual Revenues and Receipts Act
b.) an Annual National Expenditure Act
c.) an Annual Government Appropriations Act
d.) an Annual General Appropriations Act
5.) In the monitoring of the respective budget of various government offices and departments, the DBM adopts focusing
on the outputs and outcomes of every peso allocated to these government agencies and offices.
a.) performance-based budget evaluation and review
b.) zero-based budget evaluation and review
c.) incremental-based budget evaluation and review
d.) bottom up budget evaluation and review
6.) The one legislating the budget and tax measure to finance such budget.
a.) COA
b.) OP
c.) Congress
d.) Supreme Court
7.) The one raising money through the Bureau of Internal Revenues and Bureau of Customs in the form of taxes, tariff
and custom duties.
a.) DBM
b.) DOF
c.) COA
d.) NEDA
8.) The Bureau of Treasury under the DOF is in charge of the issuance of in support of the budget allotments issued by
the DBM to various government agencies and offices.
a.) Appropriations
b.) Notice of Cash Allocation
c.) GAARD
d.) RAPAL
9.) The allocation of the approved budget to the various government agencies based on the annual general appropriation
act. Said allocation is being done by the DBM.
a.) Appropriation
b.) Obligation
c.) Allotment
d.) Disbursement
10.) Comprise the major categories of allotment namely: Personal Services for the salaries and benefits of government
employees; Maintenance and Other Operating Expenses like transportation, office supplies, fuels, repairs and
maintenance, depreciation, communication, representation, publications, and other similar expenses; Financial
Charges for the costs of borrowings and other means of financing and; Capital Outlay refers to capital expenditures
like purchase of equipment and machineries and other construction of infrastructures and other long-term property,
plant and equipment and investments.
a.) Appropriations Classes
b.) Allotment Classes
c.) Obligation Classes
11.) The issuance of guidelines and schedules by the DBM for all national government agencies and government owned
and controlled corporations and other government agencies for the submission of their respective budget proposals
to the DBM for its review, approval and consolidation into a National Budget.
a.) budget guidelines
b.) budget call
c.) telephone call
d.) courtesy call
12.) It is a process of conducting periodic review by the DBM of the budget proposals being submitted by government
agencies before they are being approved and included in the National Budget.
a.) budget proposal
b.) budget preparation
c.) budget hearing
d.) all of the above
13.) It is a speech of the President of the Philippines before the opening session of the Congress of the Philippines
reporting to the people on the accomplishments made during the previous year and the programs, projects and
activities to be done during the budget or current year.
a.) State of Calamity Address
b.) State of the Nation Address
c.) Gettysburg Address
d.) State of the Nation Speech
14.) The difference between the budgeted revenue and budgeted expenditures in a given year.
a.) Profit or Loss
b.) Revenue and Expenses
c.) Retained Earnings
d.) Surplus/Deficit
15.) Is one wherein several parties participate in the budget preparation, starting from the lowest to the highest levels
of the government. The opposite is top- down budgeting approach.
a.) bottom-up budgeting approach
b.) top down budgeting approach
c.) zero-based budgeting approach
d.) incremental budgeting approach
16.) Is an approach wherein the current year's budget is formulated based on the previous year's budget, which is just
adjusted to any variances experienced in the past?
a.) bottom-up budgeting approach
b.) incremental budgeting approach
c.) zero-based budgeting approach
d.) performance -based budgeting approach
17.) Is an approach wherein budget is formulated without regard to the previous year's budget.
a.) zero-based budgeting approach
b.) incremental budgeting approach
c.) bottom-up budgeting approach
d.) performance-based budgeting approach
18.) A performance evaluation system used in a decentralized organization like the government agencies which have
subdivisions, bureaus, instrumentalities and offices.
a.) commercial accounting
b.) government accounting
c.) responsibility accounting
d.) management accounting
19.) Which of the following is not one of the fundamental principles in disbursement of government funds?
a.) Public funds shall be disbursed without an appropriation provided for by law.
b.) Public funds must be used solely for public purpose.
c.) All disbursement of public funds must bear the approval of proper government official.
d.) All disbursement of public funds must be supported by complete, proper, and valid documents.
20.) The following are included in the government accounting process, except for
a.) Trial Balance -checking the equality of debit balances and credit balances of the accounts recorded and
classified in the ledgers.
b.) Worksheet-an optional devise used to facilitate the preparation of the Statement of Income and Statement of
Financial condition. This becomes obsolete under a computerized accounting system.
c.) Adjusting Entries- update and adjustment of certain accounts to prepare fair and accurate financial statements
free from error like overstatement and understatement of certain accounts.
d.) Preparing the Statement of Income/Comprehensive Income and Statement of Financial Statements based on the
Worksheet, if any.
e.) None of the above
