MIDTERM SUMMATIVE ASSESSMENT #1

Q1. This registry shall be maintained by Appropriation Act, by Fund Cluster, by Major Fund Output or
Program/Activity/Project for personnel services.

Registry of Allotments, Obligations and Disbursements – Personnel Services

Q2. Which of the following statements best differentiates the government accounting process from the accounting
process of a business entity?

The government accounting process is similar to that of a business entity, except that it incorporates
budgetary controls, such as recording in the budget registries and preparing periodic budget accountability
reports.

Q3. It is a government-wide harmonized, budgetary, treasury, and accounting code classification.

UACS

Q4. Which of the following statements best describes the various Registries maintained by government entities?

The Registries primarily serve as an internal control for controlling and monitoring the conformance
of actual results with the approved budget.

Q5. Which is a budget execution document?

Financial Plan

Q6. Which account has a UACS subject code of 1030501000?

Receivables – Disallowances/Charges

Q7. It is the process of analyzing, recording, classifying, summarizing and communicating all transactions involving
receipt and disposition of government funds and property and interpreting the results thereof.

Government accounting

Q8. In the RCA, which of the following is intra-agency receivable?

Due from Operating Units

Q9. In the RCA, which is a service income account?

Clearance and Certification Fees

Q10. Under responsibility accounting, non-controllable costs are

Costs incurred indirectly and allocated to a responsibility level

Q11. One of the following principles is used to both commercial and government accounting.

Double entry bookkeeping service

Q12. This accounting concept is necessary so that users can use information in the financial statements in noting
differences and similarities between those information presented and information from other sources that the user
may have.

Comparability
Q13. This is the authorization by a legislative body to allocate funds for specified purposes

Appropriation

Q14. Which is not contained in the budget call?

Country’s fiscal policy and budget priorities

Q15. It is the legislative consideration, review and approval of the national budget.

Authorization

Q16. This phase in the budgetary process deals with monitoring conformance of actual reports with planned targets.

Budget accountability

Q17. Which is not a key element of UACS?

Project code

Q18. This refers to annual authorization for incurring obligations.

New General Appropriation

Q19. This is the phase where government funds are spent.

Budget execution

Q20. Which of the following statements in incorrect regarding the GAM for NGAs?

The DBM accounts for the cash, public debt and related transactions of the NG.

Q21. Responsibility accounting is a system that related the financial reports to a responsibility center. It is a system
that measures the plans and actions of each responsibility center.

Both statements are true.

Q22. It is a statement of estimated receipts and estimated expenses of the government which serves as basis for a
general appropriation bill.

National government budget

Q23. Which account is peculiar to government accounting?

Share from National Wealth

Q24. The basis of accounting required by the GAM for NGAs is

Accrual basis

Q25. Government funds include public moneys of every sort and other resources pertaining to any agency of the
government. Government funds or property shall be spent or used solely for private purpose.

Only statement 1 is true.

Q26. These are the appropriations for the purchase of goods and services the benefits of which extend beyond the
fiscal year and which add to the assets of the government.
 Capital outlays

Q27. It is applied in the preparation of the national budget where the total estimated revenue must be more than
estimated expenditures.

Balanced budget

Q28. This qualitative characteristic of financial reporting refers to freedom from material error and bias.

Reliability

Q29. Which is not a sub-major account group?

Basic Salary – Civilian

Q30. The NGAs are responsible for

Directly implementing the projects of, and performing the functions delegated by, the government

Q31. The coverage of the GAM for NGAs includes all of the following, except

Basic concepts used in auditing the accounts and financial reports of government entities

Q32. Which registry contains columns for allotments, obligations, unobligated allotments, and unpaid obligations?

RAOD

Q33. It is the basis for coding the object classification in the COA RCA.

Accrual accounting

Q34. It is a budget which covers items not adequately provided or not at all included in the general appropriation
law.

Special budget

Q35. This report, required of government entities, shows the names of creditors, the amounts owed to them, and the
number of days these obligations are outstanding. This report is submitted to the COA and DBM within 30 days
after the end of the year.

Aging of Due and Demandable Obligations

Q36. Which is not a budget and financial accountability report?

Physical plan

Q37. Which is not a financial expense?

Documentary Stamp Expense

Q38. It is a budget that focuses on specific expenditures such as PERA, training expenses, and utility expenses.

Line item budget

Q39. Which is a financial expense?

Management Supervision
Q40. It is the authorization from the Department of Budget and Management to an agency to incur obligation up to a
specified amount that must be within the legislative appropriation.

Allotment

Q41. The RAOD shall be maintained to record allotments, obligations and disbursements. It shall show the
allotment received for the year, obligations incurred, and the actual disbursements made.

Both statements are true.

Q42. Fund cluster accounting involves

Maintaining separate books and budget registries for each fund

Q43. Under responsibility accounting, a cost is considered controllable at a given level of managerial responsibility
if

The manager has the power to incur it within a given period of time

Q44. It is the expenditure authority derived from appropriation laws, government ordinances, and other decisions
related to the anticipated revenue or receipts for the budgetary period.

Approved Budget

Q45. Which does not belong to fund cluster code values?

Externally generated funds

Q46. It refers to a fund which is available for any purpose other than those which other funds have been designated
to

General fund

Q47. The President’s explanation of the country’s fiscal policy and budget priorities is contained in a document
called the

President’s Budget Message

Q48. Which office maintains accounts of financial transactions of all national government offices, agencies, and
instrumentalities?

Bureau of Treasury

Q49. These are intended to meet the needs of users who are not in a position to demand reports tailored to meet their
particular information needs.

General purpose financial statements

Q50. It is the amount committed to be paid by the government arising from an act of a duly authorized
administrative officer and which binds the government to the immediate and eventual payment of money.

Allotment

Q51. Which is a major account group?

Cash and Cash Equivalents

Q52. This is the authority issued by the DBM to central, regional and provincial offices and operating units to cover
their cash requirements.

Notice of cash allocation

Q53. The UACS was jointly developed by the following departments except

Joint Legislative-Executive Council

Q54. Which of the following principles is not in accordance with the Basic Government Accounting and Reporting
Principles under the GAM for NGAs?

Modified accrual basis of accounting in accordance with the PPSAS

Q55. The account with an RCA code of 20601010 is a/an

Liability account

Q56. Which document is not contained in the President’s budget?

Government budget map

Q57. The GAM for NGAs aims to update all of the following except

Rules and regulations regarding the filing and payment of taxes by government employees

Q58. In the RCA, this group represents classification within the major account

The sub-major account group

Q59. Which is the sub-major account group?

Land

Q60. It is the system of prescribing the procedures for recording, appropriations, allotments and obligations.

Budgetary accounting

Q61. Which is the UACS code of Trust Receipts?

08

Q62. It refers to an accounting entity for recording expenditures and revenues associated with a specific activity for
which accounting records are maintained and periodic financial reports are maintained.

Fund cluster accounting

Q63. Which is not an expense under Personnel Services?

Training expense

Q64. Which is an inter-agency payable account?

Due to BIR

Q65. What is the legal basis of the COA in promulgating the GAM for NGAs?

Article IX-D, Section 2 par. (2) of the 1987 Constitution of the Republic of the Philippines
Q66. Which is not a maintenance and other operating expenses account?

Subsistence allowance

Q67. After the budget call, budget hearings are made whereby agencies defend their proposed programs and
expenditures for the upcoming year before the

DBM

Q68. In the context of responsibility accounting, government agencies are basically cost centers because

Their primary purpose is to render service to the public at the lowest possible cost

Q69. Which registry contains columns for allotment received, notice of cash allocation received and utilized, and
balances for unutilized notice of cash allocation and unfunded allotment?

RANCA

Q70. This refers to authorization programmed annually or for some other period prescribed by law which do not
require periodic action by Congress.

Automatic appropriations

Q71. The RAPAL shall be maintained to monitor appropriations and allotments charged thereto. It shall be
maintained by COA to ensure that allotment releases are valid.

Only statement 1 is true.

Q72. Which of the following is not one of the registries maintained by a government entity?

Registries of Journals and Ledgers

Q73. It is a budgeting approach that uses performance information to assist in deciding where the funds will go.

Performance-informed budgeting

Q74. Which is the RCA code of Advances to Contractors?

19902010

Q75. It represents the accounts classification as to assets, liabilities, equity, income and expenses.

Account group

Q76. After the incurrence of obligations, the next step in the budget cycle is

Disbursement authority

Q77. Which is a sub-major account group

Land

Q78. Under this approach to budgeting, several parties participate in the budget preparation, starting from the lowest
levels of the government up to the highest levels

Bottom-up budgeting

Q79. Which of the following events or transactions requires recording in the books of accounts of a government
entity?

Disbursement authority
Q80. It is a plan or program of activities together with the cost of undertaking them to meet goals or targets which
emphasize on expected results.

Performance budget

Q81. Government accounting aims to provide information concerning past operations and present conditions. It also
aims to provide a basis for guidance for future operations.

Only statement 1 is true.