GOV ACC ASSESSMENT 1 (Chapters 1-3)

1. It encompasses the processes of analyzing, recording, classifying, summarizing and

communicating all transactions involving the receipt and disposition of government funds
and property, and interpreting the results thereof. Government accounting
2. In the financial reporting system of the national government, to which of the following
shall an entity reconciles its cash records? Bureau of Treasury
3. Which of the following approaches to budget preparation provides the best internal
control? Top-down budgeting
4. This approach to budgeting requires the justification of items in the budget irrespective
of whether they are new or carried over from the previous year. Zero-based budgeting
5. Which of the following is correct regarding zero-based budgeting?
The current year’s budget is formulated without regard to the previous year’s budget
(bolded ang stated pud sa book)
OR?????
All proposed programs and expenditures in the upcoming year must be new.
Programs and expenditures in the previous year should never be carried over to the next
year. (circled sa google)

6. Which of the following would most likely comes first in the budget process? Budget Call
from the DBM
7. Which of the following would most likely comes last in the budget process? Performance
review
8. Entity A, a government entity, receives authorization to disburse funds not to exceed ₱1B
in a specified period. This event can be described as Notice of Cash Allocation
9. Entity A, a government entity, receives notice that out of its ₱10B approved budget for the
year, Entity A can incur obligations up to ₱4B in the first quarter. This event can be
described as Allotment
10. Entity A, a government entity, receives notice that for the current year, the maximum
amount it can spend on maintenance and other operating expenses is ₱10B. This event
can be described as Appropriation
11. After receiving its obligational authority amounting to ₱4B, Entity A enters into
binding agreements for the eventual payments of a total sum of ₱3B. The “₱3B”
event can be described as Disbursement
12. The implication that users must be informed of the entity’s policies, changes to those
policies, and the effects of those changes refers to a Comparability
13. The GAM for NGAs is promulgated by the Commission on Audit (COA)
14. The Commission on Audit (COA) is responsible for promulgating accounting and
auditing rules and regulations
15. Which of the following is not charged with government accounting responsibility? Non-
stock, non-profit private hospital
16. Which of the following qualitative characteristics may be sacrificed when reporting
information on a timely basis? Reliability
17. According to the GAM for NGAs, information has this qualitative characteristic if it can be
used to assist in evaluating past, present or future events or in confirming or
correcting past evaluation – Relevance
18. This refers to the comparability between the financial statements of different entities?
Inter-comparability
19. When the substance of a transaction or event differs from its legal form, the entity should
report the transaction’s or event’s substance
20. It is a part, segment, unit or function of a government agency, headed by a
manager, who is accountable for a specified set of activities. Responsibility Center
21. According to the GAM for NGAs, the Registries are (choose the incorrect statement)
Maintained by the accounting unit of a government entity
22. The 8-digit Revised Chart of Accounts (RCS) Code for the account “Subsidy from
National Government” starts with number 4
23. The NCA is recorded in the A and B
24. The receipt of allotment is posted (recorded) in the RAPAL and RAOD
25. This event is recorded in the books of accounts Closing entries
26. Which of the following accounts most likely credited when a government entity remits the
collections to the National Treasury? Cash – Collecting Officers
27. Which of the following (is) are affected when a government entity incurs obligations? ORS
and RAOD
28. Which of the following (is) are affected when a government entity makes disbursements
to settle recorded obligations? All of these
29. Which of the following is not a form of disbursement authority? Allotment
30. Which of the following records is technically not considered on accounting book? Registry
of Appropriation and Allotments
31. The journal entry to record the billing revenue for communications network fees is Dr.
Account Receivables; Cr. Communications Network Fees
32. The journal entry to record receipt of notice of cash allocation is Dr. Cash – Modified
disbursement system, regular; Cr. Subsidy from national government
33. The journal entry to record the receipt of appropriation is – The receipt of appropriation
is recorded in the RAPAL OR The appropriation is posted in the RAPAL.
34. The journal entry to record the receipt of allotment is – The receipt of allotment is
recorded in the RAPAL and appropriate RAODs.
35. The journal entry to record the reversion of unused NCA at the end of the year is Dr.
Subsidy from National Government; Cr. Cash-Modified Disbursement System,
Regular
36. The journal entry to record or remittance of contribution to the GSIS, Pag-ibig or Phil
Health is Dr. Due to GSIS, Due to Pag-Ibig, Due to Philhealth; Cr. Cash-Modified
Disbursement System, Regular
37. The entry to record the liquidation of payroll fund is Dr. Due to officers and employees;
Cr. Advances for payroll
38. The entry to close the Cash-Treasury/Agency deposit, regular account at the end of the
period is Accumulated Surplus/(Deficit)Cash-Treasury/Agency Deposit, Regular
39. The journal entry to record collection of unbilled tax revenue.EG travel ducks through
direct deposit and authorised Agent bank is.
40. The journal entry to record the granting of cash advance to payroll fund is Dr. Advances
for Payroll; Cr. Cash-Modified Disbursement System, Regular