GAM for NGAs, Chapter 2, Sec.

37
All disbursements require the certification of the Chief Accountant. Certifications must be based on valid and properly authorized claims. Any certification for fictitious obligation is void.
The certifying official shall be dismissed from service and shall be held criminally liable. Others who are involved in the fictitious transaction are also liable.

PPSAS 28.9
Financial instrument- is any contract that gives rise to both a financial asset of one entity and a financial liability or equity instrument of another entity.

GAM for NGAs, Chapter 7, Sec. 23

The issuer of a financial instrument shall classify the instrument, or its component parts, on initial recognition as a financial asset, a financial liability or an equity instrument in
accordance with the substance of the contractual arrangement and the definitions of a financial asset, a financial liability and an equity instrument.

GAM for NGAs, Chapter 6, Sec. 2

Petty Cash Fund refers to the amount granted to duly designated Petty Cash Custodian for payment of authorized petty or miscellaneous expenses which cannot be conveniently paid
through checks or ADA.

Revised Penal Code, Art. 217

“The failure of a public officer to have duly forthcoming any public funds or property with which he is chargeable, upon demand by any duly authorized officer, shall be prima facie
evidence that he has put such missing funds or property to personal use.”

PPSAS 2.8
Cash Equivalents- are short-term, highly liquid investments that are readily convertible to known amounts of cash and which are subject to an insignificant risk of changes in value.

GAM for NGAs, Chapter 7, Sec. 10

The derecognition of financial assets is subject to the provision of the State Audit Code of the Philippines (P.D. No. 1445) on the writing off of receivables and other policies issued by the
COA.

GAM for NGAs, Chapter 7, Sec. 19

The very purpose of derivatives is risk management. Risk management is the process of identifying the desired level of risk, identifying the actual level of risk and altering the latter to
equal the former.