Professional Documents
Culture Documents
Govacco Reviewer
Govacco Reviewer
Problem 1. The agency received an allotment for DBM of P10,000,000 which is accompanied by with
a notice of cash allocation of 90% of the allotment. During the year, the agency incurred an obligation
of 90% of the NCA but only 40% of these obligation were paid by the agency. The enty to record the
unused NCA is:
A. SING 4,860,000
Cash – NT, MDS 4,860,000
B. SING 5,760,000
Cash – NT, MDS 5,760,000
C. Cash – NT, MDS 4,860,000
SING 4,860,000
D. Cash – NT, MDS 5,760,000
SING 5,760,000
Problem 2. Performance bonds are required by the agency from contractors/suppliers to ensure their
performance of contracts, which may be in the form of cash or certified check or surety. What is the
journal entry to record receipt of performance bonds in form of surety?
Problem 3. On May 5, 2015 Agency DOF transfers cash of P20,000,000 to DPWH for a land
beautification project. The project was completed by DPWH on October 3, 2015. What is the entry of
Agency DOF to record the completion of the beautification project?
Problem 4. LTO collected motor vehicles registration fees amounting to P250. These were remitte ti
the Bureau of Treasury. To record the remittance by LTO in the National Governement books, the entry
would be:
Problem 6. The entry for obligations of stamps P5,000 for replenishment of petty cash fund is:
A. Stamps
Cash – NT, MDS
B. Stamps expense
Cash – NT, MDS
C. Memo entry – RAOMO
D. Petty Cash fund
Cash – NT, MDS
Problem 7. Agency LOL issued a bill for rent of office space to VIP Holdings, P400,000. The agency is
authorized per special provision to use receipts from rentals for their operations. The entry on the
Agency bools to record the foregoing transactions would be:
A. Memo entry
B. Accounts Receivable 400,000
SING 400,000
C. Accounts Receivable 400,000
Rent Income 400,000
D. Cash – Collecting Officer 400,000
Rent Income 400,000
Problem 8. The straight-line method of depreciation shall be used for government property, plant
and equipment and a 10% residual value shall be set up. What is the estimated useful life of
government buildings that are predominantly wood, mixed wood and concrete, predominantly
concrete?
Problem 9. The notice of cash allocation from Bureau of Treasury shall be recorded by the
government agencies in which of the following books?
Problem 12. Out of its total appropriation for 2014, Department of Kurap received its allotment
broken down as follows:
The Department of Budget and Management (DBM) issued Notice of Cash Allocation to Department of
Kurap in the amount of P20,000,000. Department of Kurap records the allotment by a:
Problem 13. On December 31, 2014, selected ledger accounts of LGU – Sampernandu shows the
following:
Problem 14. The DWPH received capital outlay and Notice of Cash Allocation, net of tax remittance
advice, from the DBM in the amount of P10,000,000 and P8,000,000, respectively. Upon approval of
the project proposal for the improvement of the administration building, purchase order for materials
was issued in the amount of P4,000,000. At the date of delivery, construction materials were
inspected and paid in full. Materials of P3,500,000 were issued and used in the construction. Payroll
for labor cost in the amount of P1,500,000 less 10% withholding tax was submitted to the
administration, and cash advance was granted to special disbursing office for the eventual payment of
payroll. Withholding tax payable was remitted to the Bureau of Internal Revenue and upon approval of
the accomplishment report by the head of the DPWH, the capital expenditures were taken in the
books of DPWH.
Which of the following journal entries in the Registry Agency Books of DPWH is correct?
Problem 15. The Department of Budget and Management of the Philippine Government conducted a
seminar about the New Governement Accounting System. The DBM collected a total amount of
P20,000 as seminar fees, which was deposited with Landbank of the Philippines and paid the following
expenses of the seminar: Office supplies – P5,000; Rent – P3,000 and Printing and Binding – P1,000.
The excess of the amount collected was appropriately remitted to the National Treasury.
Which of the following journal entries in the Regular Agency Book of DBM is incorrect?
Problem 16. Based on the memorandum agreement for a reforestation project, DPWH (source
agency) made an inter-agency transfer of fund to DENR (implementing agency). DPWH issued check in
the amount of P5,000,000 which was previously obligated by DPWH for that purpose. Upon receipt of
the check by DENR, it was remitted to the Bureau of Treasury. The corresponding Notice of Cash
Allocation (NCA) was requested and received by DENR from the DBM. Accordingly, expenses were paid
by DENR and appropriate report for this project was submitted to DPWH.
Which of the following journal entries in the Regular Agency Book of DENR is incorrect?
Problem 17. DSWD received a grant or donation from SM Inc. in the amount of P100,000. DSWD has
no specific authority for the use of the grant. DSWD remitted the P100,000 cash to the Bureau of
Treasury through the bank. Afterwards, the DSWD preapared and submitted special budget for Street
Children Christmas Party to DBM. Upon approval of the special budget for DSWD, the DBM released
the Special Allowance Release Order (SARO) in the amount of P100,000. Afterwards, the DBM released
the Notice of Cash Allocation to the DSWD.
Which of the following journal entries in the national government book or regular agency book of
DSWD is incorrect?
A. To record the receipt of grant from SM in the National Government Book of DSWD
Cash – Collecting Officer 100,000
Income from Donation 100,000
B. To record the remittance to the Bureau of Treasury through the bank in the National
Government Book of DSWD
Income from Donation 100,000
Cash – Collecting Officer 100,000
C. To record the receipt of SARO from DBM in the Regular Agency Book of DSWD
Receivable from DBM 100,000
Subsidy Income from National Government 100,000
D. To record the receipt of Notice of Cash Allocation from DBM in the Regular Agency Book of
DSWD
Cash – NT, MDS 100,000
Subsidy Income from National Government 100,000