BCLTE Reviewer-1

#1 BCLTE - LTOM Book 1 Chapter 1
Book One: Fiscal Organization of Local Governments and the Local Treasurer Philippine Board Reviewer | Book 1 |
Chapter 1 | 15 Questions
Chapter 1. Fiscal Organization of Local Governments
1. It is a body politic and corporate endowed with powers to be exercised by it in conformity with law.
a. Government
b. Local Government Unit
c. Province
d. City
e. Barangay
2. The common requirements for creation of a local government unit or its conversion from one level to another
shall be based on the following:
a. Sufficient Income
b. Population within the territorial jurisdiction
c. Contiguous Land Area
d. All of the above
e. None of the above
3. The determination of compliance to the common requirements for creation of an LGU or its conversion
shall be attested to by the following except:
a. Department of Finance
b. National Statistics Office
c. Provincial Capitol
d. Lands Management Bureau
e. Department of Environment and National Resources
4. The income classification of local government units resulting from division and merger shall be updated to
reflect the changes in their financial position.
a. Within 6 months from the effectivity of R. A. No. 7160
b. Within a year from the effectivity of R. A. No. 7160
c. Within 3 years from the effectivity of R. A. No. 7160
d. Within 5 years the effectivity of R. A. No. 7160
5. A province may be created by an Act of Congress and subject to approval by a majority of the votes cast in a
plebiscite to be conducted by the COMELEC in the local government unit or units directly affected. From the
effectivity of said Act, the plebiscite shall be held within:
a. 30 days
b. 60 days
c. 120 days
d. One year
6. A contiguous territory as certified by the Lands Management Bureau to comply with the creation of a province
shall be at least:
a. 100 square kilometers
b. 2,000 square kilometers
c. 10,000 square kilometers
d. 50,000 square kilometers
7. A province may be created if it has an Average Annual Income for the immediately preceding 2 consecutive years
based on 1991 constant prices, as certified by the Department of Finance, of not less than:
a. Php 2,500,000.00
b. Php 20,000,000.00
c. Php 50,000,000.00
d. Php 100,000,000.00
e. Php 250,000,000.00
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8. The minimum population as certified by the National Statistics Office to comply with the requirement
for the creation of a province shall be:
a. 25,000 inhabitants
b. 100,000 inhabitants
c. 150,000 inhabitants
d. 250,000 inhabitants
e. 500,000 inhabitants
9. A municipality or a cluster of barangays may be converted into a component city if it has a locally generated
Average Annual Income for the last 2 consecutive years based on 2000 constant prices, as certified by
Department of Finance, of a at least:
a. Php 2,500,000.00
b. Php 20,000,000.00
c. Php 50,000,000.00
d. Php 100,000,000.00
e. Php 250,000,000.00
10. The minimum population as certified by the National Statistics Office to comply with the requirement for
the creation of a city shall be:
11. A contiguous territory as certified by the Lands Management Bureau to comply with the creation of a city shall
be at least:
a. 100 square kilometers
b. 2,000 square kilometers
c. 10,000 square kilometers
d. 50,000 square kilometers
12. A classification based on the minimum population of 200,000 inhabitants and Annual Income of at least Php
50,000,000.00.
a. Barangay
b. Municipality
c. Province
d. Highly Urbanized Cities
e. Component cities of the province
13. A municipality may be created if it has an Average Annual Income for the last 2 consecutive years based on 1991
constant prices, as certified by the Department of Finance, of not less than:
a. Php 2,500,000.00
b. Php 20,000,000.00
c. Php 50,000,000.00
d. Php 100,000,000.00
e. Php 250,000,000.00
14. The minimum population as certified by the National Statistics Office to comply with the requirement for
the creation of a municipality shall be:
15. The creation, division or abolition of alteration of boundaries of provinces, cities, municipalities, or barangay
within ARMM shall be determined and enacted by:
a. Act of Congress
b. Province
c. Sanggunian
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d. Local Government Unit
e. Regional Assembly

Chapter 2 | 20 Questions
Chapter 2. Appointment, Qualifications, Powers and Functions of the Local Treasurer, the Assistant Treasurer,
and the Barangay Treasurer
16. The number of ranking eligible recommendees of the governor or mayor, as the case may be, subject to civil
service law, rules and regulations from which the Secretary of Finance shall appoint a Local Treasurer.
a. 2
b. 3
c. 4
d. 5
17. The following are some of the requirements for the appointment of a Local Treasurer except:
a. A resident of the local government unit concerned
b. A holder of a college degree
c. A Certified Public Accountant
d. A first grade civil service eligible or its equivalent
e. Years of experience in treasury or accounting service
18. The plantilla of personnel in the local government unit concerned in relation to the position of Local Treasurer
should show the following information except:
a. Designation of Position
b. Appropriation or Budget Item Number
c. Range/Salary Grade of the Position
d. Documents establishing compliance to the prescribed requirements
e. Authorized and Actual Salary per annum
19. The delegation of the Appointing Authority over Provincial, City and Municipal Treasurers and their Assistants
may be given by the Secretary of Finance to:
a. BLGF Executive Director
b. Local Treasurer
c. Provincial Governor
d. Department of Budget and Management
e. Local Chief Executive
20. Requests for relief, transfer, or detail of Treasurers and Assistant Treasurers shall be acted upon only for
justificable reasons and after compliance with the requisites of due process comprising with the following
except:
a. Treasurer consents to the action taken
b. Completion of the final audit finding of cash shortage and properly validated
c. Termination of the formal investigation
d. Treasurer has been formally charged with a grave offence
e. 90 day preventive suspension has expired
21. Unless sooner revoked, the designation of the OIC/ICO of Local Treasury Offices and Acting Assistant
Provincial/City/Municipal Treasurers shall be a period of:
a. 3 months
b. 6 months
c. 1 year
d. 3 years
e. 6 years
22. The designation, conditioned upon a satisfactory performance and in the absence of any derogatory report
and/or adverse information against the designate, can be extended only:
a. Once
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b. Twice
c. Thrice
d. Upon recommendation by the Local Chief Executive
23. Designations and extensions thereof shall be processed by the Regional Office within:
a. Within 3 days before the expected temporary or permanent vacancy
b. Within 5 days before the expected temporary or permanent vacancy
c. Within 10 days before the expected temporary or permanent vacancy
d. Within 15 days before the expected temporary or permanent vacancy
24. Submissions by the Regional Office for designations and extensions thereof shall be confirmed within:
a. 10 days from the issuance of the Order
b. 15 days from the issuance of the Order
c. 30 days from the issuance of the Order
d. 45 days from the issuance of the Order
25. Submission by the BLGF Regional Director for designations shall be acted upon by the Executive Director and
Bureau of Local Government Finance within:
a. 5 days from receipt
b. 10 days from receipt
c. 15 days from receipt
d. 30 days from receipt
26. Designation submitted to the BLGF for confirmation shall be accompanied by the following documents
except:
a. Regional Special Personnel Order
b. Recommendations of the BLGF Regional Director and the Local Chief Executives concerned
c. Recommendation of the Provincial/City Treasurer, when applicable
d. Updated Personal Data Sheet
27. An official or employee designated by proper authority in a temporary capacity to discharge the duties and
functions of the head of the Local Treasury Office (Provincial/City/Municipal) in a caretaker capacity and with
certain limitations of the powers, authority and prerogatives normally exercised by the head of the office.
a. Officer-in-Charge
b. In-Charge of Office
c. Local Treasurer
d. Assistant Local Treasurer
e. Barangay Treasurer
28. An official or employee designated by proper authority in a temporary capacity to discharge fully the powers and
responsibilities of the head of the Local Treasury Office (Provincial/City or Municipal), with the same rights and
prerogatives of the latter, except the right to receive the salary appurtenant thereto.
a. Officer-in-Charge
b. In-Charge of Office
c. Local Treasurer
d. Assistant Local Treasurer
e. Barangay Treasurer
29. An OIC-Provincial/City/Municipal Treasurer shall continue to receive his/her salary from his/her regular station
for a period of:
a. 30 days
b. 60 days
c. 90 days
d. 120 days
e. 150 days
30. The Assistant Municipal Treasurer who automatically assumes as ICO shall notify the BLGF Regional Director
concerned, thru the Provincial Treasurer, of the absence, sickness, death of other incapacity of the regular
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incumbent and of the date of his/her assumption in a caretaker capacity within:
a. 24 hours
b. 48 hours
c. 7 days
d. 15 days
e. 30 days
31. The following do not meet the requirements for a person to be appointed Barangay Treasurer except:
a. A sangguniang barangay member
b. A government employee
c. A relative of the punong barangay within the 4th civil degree of consanguinity or affinity
d. Not a Certified Public Accountant
32. A Local Treasurer who is reinstated after having been illegally dismissed is considered as not having left his office
and should be given comparable compensation at the time of his reinstatement in an amount not exceeding:
a. 6 months salary
b. 1 year salary
c. 2 years salary
d. 5 years salary
e. 10 years salary
33. The approval of application for leave of Provincial, City and Municipal Treasurers and Assistant Provincial, City
and Municipal Treasurers where he intends to leave the country regardless of duration shall be by:
b. BLGF Regional Director
c. Local Chief Executive
d. Barangay Chairman
e. BLGF Executive Director
34. Application of vacation leave of Assistant Provincial/City/Municipal Treasurer for a period exceeding 15
days shall be approved by:
b. BLGF Regional Director
c. Local Chief Executive
d. Barangay Chairman
e. BLGF Executive Director
35. Provincial/City/Municipal Treasurer and Assistant Provincial/City/Municipal Treasurer may avail of maternity or
paternity leave which shall be non-cumulative and non-commutative, immediately before, during or after the
childbirth or miscarriage of their legitimate spouse, of not more than:
a. 3 days
b. 5 days
c. 7 days
d. 10 days
e. 14 days
#3 BCLTE - LTOM Book 1 Chapters 3-6

Chapters 3-6 | 20 Questions
Chapter 3. Administrative and Technical Supervision by the Bureau of Local Government Finance (BLGF)
36. The BLGF Regional Officers shall perform the following administrative and technical functions involving local
treasury operations except:
a. Supervise and coordinate the conduct of local treasury and assessment operations of provinces, cities and
municipalities within the region for the proper implementation of laws, decrees, rules, regulations and
administrative issuances of the Department of Finance.
b. Coordinate the plans, programs and activities of local treasury and assessment offices in the conduct of tax
collection drives and tax information and education campaigns.
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c. Conduct regional training programs, seminars, workshops and other allied activities for the improvement of
the administrative and technical skills in the local treasury offices.
d. See to it that payment of taxes of a business is not avoided through simulation of the retirement thereof and
recommend to the Mayor for the disapproval of the application for the termination or retirement of the
business.
e. Undertake measures that would lead to efficient administration of local treasury operations.
Chapter 4. The Roles and Responsibilities of Local Treasurers
37. The following are the duties and responsibilities of the Provincial, City, and Municipal Treasurer except:
a. Collection of Local Revenues
b. Collection of Real Property Tax
c. Custody and Requisition of Accountable Forms
d. General and Specific Functions
38. The provincial, city or municipal treasurers or his deputy shall prepare a certified list of all real property tax
delinquencies which remained uncollected or unpaid for at least one year in his jurisdictions and submit the
same to the sanggunian concerned on or before:
a. April 14 of each year
b. July 15 of each year
c. September 5 of each year
d. December 31 of each year
39. The Local Treasurer shall submit certified statement covering income and expenditures to the LCE on or before:
40. The City or Municipal Treasurer, jointly with the City or Municipal Accountant, shall issue a certified statement
covering actual income on or before:
41. The Local Treasurer shall be a member of the following Local Committees and Boards except:
a. Selection and Promotion Board of the BLGF Offices
b. Local Finance Committee
c. Bids and Awards Committee
d. Local School Boards
e. Appraisal Committee for purposes of expropriation and purchase of real property
Chapter 5. Other Roles of the Local Treasurer
42. Specific role of the Local Treasurer in the enactment or amendment of revenue ordinance of Local Government
Units include the following except:
a. Update on the tax information system
b. Advice on the adequacy of taxes, fees and charges and continued relevance of certain impositions
c. Update on the adjustment of fees and charges
d. Dissemination of tax ordinances and revenue measures
43. The Local Government Code of 1991 allows the rates of taxes to be adjusted only once every:
a. 3 years
b. 5 years
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c. 10 years
d. 15 years
44. The members of the Bids and Awards Committee shall be:
a. 5-7 members
b. 5-9 members
c. 10-12 members
d. 10-15 members
e. Any number
45. It is an inter-agency board created under the Government Procurement Reform Act or R A. No. 9184 chaired by
the Secretary of DBM.
a. Bids and Awards Committee
b. Local School Boards
c. Local Finance Committee
d. Government Procurement Policy Board
e. Appraisal Committee
46. The keys of the padlocks of the ballot box upon the termination of the counting of the votes shall be placed in
separate envelopes, sealed and signed by all members of the board and delivered by a COMELEC representative
to the following except:
a. Provincial Treasurer
b. Provincial Governor
c. Provincial Fiscal
d. Provincial Election Supervisor
47. The Board of Canvassers must complete their canvass in the provinces within:
a. 24 hours
b. 36 hours
c. 48 hours
d. 72 hours
e. 96 hours
48. The Board of Canvassers must complete their canvass in the municipalities within:
a. 24 hours
b. 36 hours
c. 48 hours
d. 72 hours
e. 96 hours
49. The Board of Canvassers must complete their canvass in the cities within:
a. 24 hours
b. 36 hours
c. 48 hours
d. 72 hours
e. 96 hours
Chapter 6. Bond for Local Treasurers and Other Accountable Officers of Local Government Units
50. The procedure for bonding are as follows except:

a. Notice to the Bureau of the Treasury
b. General Form No. 57 (A)
c. General Form No. 58 (A)
d. Endorsement to the Bureau of the Treasury
e. Certification from the Secretary of DBM
51. The Barangay Treasurer shall be bonded with the Fidelity Fund immediately upon assumption of office in the
amount to be determined by the Sangguniang Barangay but not to exceed:
a. Php 5 million
b. Php 1 million
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c. Php 100,000.00
d. Php 50,000.00
e. Php 10,000.00
52. At what percentage of their total value should the corresponding bond for Accountable Forms involving Cash
Tickets, Cattle Registration Certificates, and Marriage Certificates be?
a. 5%
b. 10%
c. 15%
d. 20%
e. 25%
53. An official/employee who has both money and property accountability, shall be bonded only once to cover both
accountabilities, but the amount of the bond shall be in accordance with the Schedule of Cash Accountability,
provided however, that the amount of bond shall not exceed:
a. Php 5 million
b. Php 1 million
c. Php 100,000.00
d. Php 50,000.00
e. Php 10,000.00
54. The Fidelity Fund shall not be used for the following except:
a. To replace fines imposed on bonded officials/employees as a result of criminal conviction for violation of the
Revised Penal Code or any penal law.
b. To pay for defalcations, shortages and unrelieved accountability after all possible means of recovery of the
amount from the accountable official or employee have been exhausted.
c. To answer the liability of a bonded official/employee convicted of estafa through falsification of public
documents in his/her capacity as private individual.
d. To refund the accountability of a bonded official/employee found short in accountability but not removed or
relieved of the duties.
e. None of the above.
55. Approved fidelity bonds are valid:
a. For 5 years
b. For 3 years
c. For 1 year
d. For 6 months
e. During the duration of appointment
#4 BCLTE - LTOM Book 2 Chapter 1A

Book Two: Receipts and Collection of Local Income, Revenues and Other Fund Sources Philippine Board Reviewer |
Book 2 | Chapter 1 | 15 Questions
Chapter 1. Types of Local Income and Revenues Collected by Local Government Units
56. It refers to all revenues and receipts collected or received forming the gross accretions of funds of the local
government unit.
a. Taxes
b. Revenue
c. Cash collection
d. Income
e. Profit
57. It has the power to create its own sources of revenue and to levy taxes, fees and charges subject to the
provisions of the Local Government Code of 1991, consistent with the basic policy of local autonomy.
a. Province
b. Local Government Unit
c. City
d. Congress
e. Office of the President
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58. The authority of the government to classify the object of taxation, to be valid, must be reasonable and this
requirement is not deemed satisfied unless:
a. It is based upon substantial distinctions which make the real differences.
b. These are germane to the purpose of the legislation or ordinance.
c. The classification applies, not only to present conditions, but, also, to future conditions substantially
identical to those of the present.
d. The classification applies equally to all those who belong to the same class.
e. All of the above
59. The following describe what the taxes, fees and other impositions shall be except:
a. uniform under all circumstances.
b. equitable and based as far as possible on the taxpayer’s ability to pay.
c. levied and collected only for public purposes.
d. not unjust, excessive, oppressive, or confiscatory.
e. not contrary to law, public policy, national economic policy, or in restraint of trade.
60. The following are the requirements for a local ordinance to be valid except:
a. not contravene the Constitution or any stature.
b. not be partial or discriminatory.
c. be general and consistent with public policy.
d. neither prohibit nor regulate trade.
61. The conduct of public hearings shall be governed by the following procedure except:
a. Pre-publication/posting and written notices to interested/affected parties
b. Public hearing prior to enactment of the tax ordinance or revenue measure
c. Preparation of minutes by the secretary of the sanggunian
d. Approval and publication of tax ordinance and revenue measures
e. Dissemination of approved copies to interested parties
62. The local chief executive may veto any ordinance of the sangguniang panlalawigan, sangguniang panlungsod,
or sangguniang bayan. He/she shall communicate the veto:
a. Within 15 days in the case of a province
b. Within 10 days in the case of a city
c. Within 10 days in the case of a municipality
d. All of the above
63. Approved tax ordinances and revenue measures shall be published within:
a. 3 days from approval
b. 10 days from approval
c. 15 days from approval
d. 30 days from approval
e. 60 days from approval
64. The Sangguniang Panlalawigan shall review the approved city or municipal ordinances or resolutions
within:
a. 3 days from approval
b. 10 days from approval
c. 15 days from approval
d. 30 days from approval
e. 60 days from approval
65. The city or municipal ordinance or resolution shall be presumed consistent with law and therefore valid if no
action has been taken by the sangguniang panlalawigan within:
a. 3 days
b. 10 days
c. 15 days
d. 30 days
e. 60 days
66. Appeal on the constitutionality or legality of an ordinance may be made within 30 days to the Secretary of
Justice who shall render a decision within:
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a. 3 days from receipt of the appeal
b. 10 days from receipt of the appeal
c. 15 days from receipt of the appeal
d. 30 days from receipt of the appeal
e. 60 days from receipt of the appeal
67. The penalties for violation of tax ordinances prescribed by the local government unit:
a. is a fine between Php 1,000.00 – Php 5,000.00
b. is imprisonment from 1 to 6 months
c. shall be either or both of the above
d. shall only be either of the above
e. shall always be both of the above
68. The following are some of the taxes, fees and charges specifically reserved to provinces except:
a. Professional Tax (Sec. 139, LGC)
b. Tax on Business (Sec. 143, LGC)
c. Tax on Business of Printing and Publication (Sec. 136, LGC)
d. Franchise Tax (Sec. 137, LGC)
e. Amusement Tax (Sec. 140, LGC)
69. The following are the taxes, fees and charges that may be levied by the municipalities and not otherwise
levied by provinces except:
a. Community Tax (Sec. 156, LGC)
b. Fees for Sealing and Licensing of Weights and Measures (Sec. 148, LGC)
c. Fishery Rentals, Fees and Charges (Sec. 149, LGC)
d. Tax on Sand, Gravel and Other Quarry Resources (Sec. 138, LGC)
e. Fees and Charges on Business and Occupation (Sec. 236, LGC)
70. Except the rates of professional and amusement taxes, the rates of taxes that the city may levy may exceed the
maximum rates allowed for the province or municipality by not more than:
a. 50%
b. 40%
c. 30%
d. 20%
e. 10%
#5 BCLTE - LTOM Book 2 Chapter 1B

Book 2 | Chapter 1B | 15 Questions
Chapter 1. Types of Local Income and Revenues Collected by Local Government Units
71. The rate of tax on stores or retailers with fixed business establishments with gross sales or receipts of the
preceding calendar year of Php 50,000.00 or less, in the case of cities and Php 30,000.00 or less, in the case of
municipalities, shall not exceed:
a. 5% on such gross sales or receipts
b. 4% on such gross sales or receipts
c. 3% on such gross sales or receipts
d. 2% on such gross sales or receipts
e. 1% on such gross sales or receipts
72. The application for Barangay clearance for any business or activity shall be acted upon within:
a. 24 hours from filing thereof
b. 3 working days from filing thereof
c. 7 working days from filing thereof
d. 15 working days from filing thereof
73. The barangay may levy reasonable fees and charges for the following except:
a. On commercial breeding of fighting cocks, cockfights and cockpits
b. On business and occupation
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c. On places of recreation which charge admission fees
d. On billboards, signboards, neon signs, and outdoor advertisements
74. Local government units share from the income generated by the national government from all taxes and
revenue sources for the following except:
a. Internal Revenue Allotment (IRA)
b. Tobacco Excise Tax
c. Proceeds from the utilization of national wealth within their territorial jurisdiction
d. Special shares from other national taxes, particularly on ECOZONES and specified portions of the Value
Added Tax
75. It refers to a shortfall of revenues against disbursements.
a. Bankruptcy
b. Fiscal Losses
c. Budget deficit
d. Variance
e. Public sector deficit
76. The share of all provinces from the total annual Internal Revenue Allotment (IRA) shall be at an allocation of:
a. 20%
b. 30%
c. 34%
d. 23%
e. 33%
77. The share of all municipalities from the total annual Internal Revenue Allotment (IRA) shall be at an allocation of:
a. 20%
b. 30%
c. 34%
d. 23%
e. 33%
78. The share of all barangays from the total annual Internal Revenue Allotment (IRA) shall be at an allocation of:
a. 20%
b. 30%
c. 34%
d. 23%
e. 33%
79. Every barangay with a population of not less than 100 inhabitants shall be entitled to an Internal Revenue
Allotment (IRA) chargeable against the 20% share of the barangay from the total IRA of not less:
a. Php 20,000.00
b. Php 40,000.00
c. Php 60,000.00
d. Php 80,000.00
e. Php 100,000.00
80. The individual shares in Internal Revenue Allotment (IRA) of each LGU shall be automatically released
direct to the provincial, city, municipal, or barangay treasurer, as the case may be, on:
a. a monthly basis
b. a quarterly basis
c. a semi-annual basis
d. an annual basis
81. At what minimum percentage of the Internal Revenue Allotment (IRA) for the year be mandatory for each LGU
to asset aside in its annual budgets as appropriation for local development projects that are embodied or
contained in the local development plans?
a. 5%
b. 10%
c. 20%
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d. 30%
82. It refers to the natural resources situated within the Philippine territorial jurisdiction including lands of public
domain waters, minerals, coal, petroleum, mineral oils, potential energy forces, gas and oil deposits, forest
products, wildlife, flora and fauna, fishery and aquatic resources and all quarry products.
a. Land resources
b. Sovereignty
c. Forestry
d. National territory
e. National wealth
83. From the gross collection derived by the national government from the preceding fiscal year from the mining
taxes, royalties, forestry and fishery charges, and such other taxes, fees, or charges as well as administrative
charges accruing to the national government, the LGU shall, in addition to the IRA, have a share of:
a. 10%
b. 20%
c. 30%
d. 40%
84. In lieu of the national and local taxes, businesses and enterprises in Special Economic Zones shall pay gross
income tax of:
a. 1%
b. 3%
c. 5%
d. 10%
e. 12%
85. Other common sources of LGU revenues outside taxation, fees and charges, and shares in national taxes and
wealth are the following except:
a. Donations
b. Sale of Fixed Assets
c. Contributions
d. Sale of Waste Materials
e. Interest Income

Book 2 | Chapters 2-3 | 20 Questions
Chapter 2. Collection of Revenues and Other Receipts
86. For drawing of checks payable to the LGU, under no circumstances shall the following checks be accepted
except:
a. Post-dated or Stale checks
b. Checks drawn payable to the official title or designation of the LCE or Treasurer of the LGU
c. Indorsed checks
d. Checks drawn payable to “Cash”
e. Checks drawn payable to the name of the Head of the LGU or any of its officers
87. Upon receipt of the dishonored check and debit memo from the depository bank concerned, the collecting
officer or Local Treasurer shall accomplish the “Notice of Dishonor” and sign it in behalf of the local chief
executive within:
a. 24 hours
b. 2 days
c. 3 days
d. 5 days
e. 7 days
88. The local chief executive upon the recommendation of the Local Treasurer, shall immediately transmit the
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certified copies of the dishonored check, debit memo from the bank and notice of dishonor to the city or
provincial prosecutor if the drawer of the dishonored check due to lack or insufficiency of funds fail to settle his
account within:
a. 24 hours from receipt of the notice of dishonor
b. 2 days from receipt of the notice of dishonor
c. 3 days from receipt of the notice of dishonor
d. 5 days from receipt of the notice of dishonor
e. 7 days from receipt of the notice of dishonor
89. Unless the court shall direct otherwise, pending their redemption, dishonored checks shall remain in the custody
of:
a. Local Chief Executive
b. COA Auditor
c. Local Accountant
d. Disbursing bank
e. Local Treasurer
90. The following are Accountable Forms with money value except:
a. Checks
b. Cash Tickets
c. Certificate of Transfer of Large Cattle
d. Certificate of Ownership of Large Cattle
e. Marriage License Certificate
91. Issuance of Accountable Forms to bonded officers has to be in sufficient quantities based on their actual needs
but not to exceed use of:
a. 1 month
b. 3 months
c. 6 months
d. 1 year
92. All Provincial, City and Municipal Treasurers shall deposit their funds and maintain deposit accounts with Land
Bank of the Philippines and Development Bank of the Philippines. By way of exception, and subject to prior
approval of the Department of Finance, they may likewise do so with the following except:
a. Bank of the Philippine Islands
b. Philippine National Bank
c. Philippine Postal Savings Bank
d. Philippine Veterans Bank
e. Al Amanah Islamic Investment Bank of the Philippines
93. The Barangay Treasurer shall deposit all collections with the city or municipal treasury or in the depository
account maintained in the name of the barangay within:
a. 1 day after receipt thereof
b. 2 days after receipt thereof
c. 3 days after receipt thereof
d. 5 days after receipt thereof
e. 7 days after receipt thereof
94. It refers to available cash which the local government unit can freely invest in government securities and/or
fixed term deposits with authorized government depository banks.
a. Idle funds
b. Collections
c. Taxes
d. Bank deposits
e. Cash in Treasury
95. The Treasurer shall maintain the following cashbooks except:
a. Cashbook – Cash in Treasury
b. Cashbook – Cash in Bank
c. Cashbook – Daily Recording
d. Cashbook – Cash Advances
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96. It shall be maintained by individual Tellers, Fields and Market Collectors and other authorized personnel
receiving collections outside of the local government office.
a. The Treasurer’s Cashbook
b. The Teller’s/Collector’s Cashbook
c. Certificate of Transactions in the Cashbook
d. The Liquidating Officer’s Cashbook
97. It shall be used by the designated Liquidating Officer to record all collections turned over to him by Tellers, Field
and Market Collectors, and remittances to the Local Treasurer/Cashier.
a. The Treasurer’s Cashbook
b. The Teller’s/Collector’s Cashbook
c. Certificate of Transactions in the Cashbook
d. The Liquidating Officer’s Cashbook
98. The Report of Collections and Deposits shall be prepared daily by:
a. Tellers/Collectors
b. Liquidating Officers
c. Local Treasurer/Cashier
d. None of the above
e. All of the above
Chapter 3. Examination of Books of Accounts and Pertinent Records of Businessmen by Local Treasurers
99. The following shall govern the examination by the Local Treasurer of books of accounts and pertinent
records of businessmen except:
a. Examination of Books of Accounts and Pertinent Records of Businessmen
b. Authority to Conduct Examination or provide the Written Authority to qualified officers
c. Deputize the Administrative Officer of the Sangguniang Panlungsod to examine the books of accounts of
business establishments
d. Time, Frequency and Certification
e. Access to the Bureau of Internal Revenue Records
100.In case the books of accounts and other records are not available on the first visit, another appointment with the
business owner/representative, after serving the Letter of Authority, should be made not later than:
a. 3 days
b. 5 days
c. 7 days
d. 15 days
e. 30 days
101.The deputized Examiners shall perform the following activities except:
a. Review of pertinent records of the business establishment to be examined
b. Review of the working papers, if any, of the business establishment, if previously examined
c. Submission to the Owner/President of the business establishment to be examined the Letter of
Appointment/Authority to conduct the examination
d. Acceptance of books of accounts and documents for verification/examination
e. Preparation of Bank Reconciliation Statements
102.It shows the comparison between the gross receipts/sales declared per business permit application
and the gross receipts/sales as appearing in the sales documents examined.
a. Letter of Confirmation/Certificate of Confirmation/Certificate of Examination
b. Tax Data Working Papers or Tax Data Sheet
c. Letter of Assessment/Assessment Notice
d. Tax Data and Assessment Form
103.It shows the detailed computation of the additional assessment for business tax based on the computed
understatement of sales/receipts declared in the business permit application, the amount of surcharges and
Page 14 of 45
penalties, the interest on the deficiency tax assessed, as well as the signatures of the Examination Team and the
Local Treasurer.
104.It shows the amount of tax deficiency inclusive of penalties, surcharges and interest resulting from the conduct
of the examination.
105.Its issuance signifies the completion of the examination conducted.

Book Three: Expenditures and Disbursements
Philippine Board Reviewer | Book 3 | Chapters 1-2 | 20 Questions
Chapter 1. Concept of Funds
106.The following are the general classification of funds except:

a. Trust Fund
b. Mutual Fund
c. Special Fund
d. General Fund
107.It is defined as a sum of money or other resources set aside for the purpose of carrying out specific activities or
attaining certain objectives in accordance with special regulations, restrictions or limitations, and constitutes an
independent fiscal and accounting entity.
a. Government Fund
b. Special Funds
c. Local Funds
d. Fund
e. Trust Fund
108.It consists of monies and resources of the local government which are available for the payment of expenditures,
obligations or purposes not specifically declared by law as accruing and chargeable to, or payable from, any
other fund (Sec. 308, LGC)
a. Government Fund
b. Special Funds
c. Local Funds
d. Fund
e. Trust Fund
109.The General Fund maintains Special Accounts for the following except:
a. Development projects funded from the share of the local government unit concerned in the internal revenue
allotment.
b. Public utilities and other economic enterprises.
c. Operation and maintenance of public schools.
d. Other special accounts which may be created by law or ordinance.
Page 15 of 45
e. Loans, interests, bond issues, and other contributions for specific purposes.
110.It shall consist of private and public monies which have officially come into the possession of the local
government or of a local government official as trustee, agent or administrator, or which have been received as
guaranty for the fulfillment of some obligation.
a. Trust Funds
b. Special Funds
c. Real property tax proceeds
d. Local Funds
e. General Funds
111.The Local School Board determines and approves the allocation of proceeds from the applicable tax on real
property for the following purposes except:
a. Educational research
b. Construction of a school playground
c. Operation and maintenance of public schools
d. Purchase of books and periodicals
e. Construction and repair of school buildings, facilities and equipment
112.The following are some of the fundamental principles governing the utilization of Local Funds except:
a. Disbursements or disposition of government funds or property shall invariably bear the approval of the
proper officials.
b. Disbursements or disposition of government funds or property shall invariably bear the approval of the
proper officials.
c. Fiscal responsibility shall be shared by all those exercising authority over the financial affairs, transactions,
and operations of the local government units.
d. Claims against government funds shall be supported with complete documentation.
e. Trust Funds in the local treasury shall be paid out in fulfillment of the purpose for which the trust was
created or the funds received and other allocations as may be determined by the local government as
necessary.
Chapter 2. Concept of Appropriation, Allotment, Obligation and Expenditure
113.It refers to an authorization made by ordinance, directing the payment of goods and services from local
government funds under specified conditions or for specific purposes.
a. Savings
b. Government resolution
c. Budget
d. Appropriation
e. General Fund
114.The following are the general classifications of appropriations except:
a. Supplemental Appropriation
b. Treasury Appropriation
c. Annual Appropriation
d. Continuing Appropriation
115.This refers to an appropriation available to support obligations for a specified purpose or project, such as those
for the construction of physical structures or for the acquisition of real property or equipment, even when these
obligations are incurred beyond the budget year.
116.This is one prepared to adjust the equilibrium of the first approved budget which has been disturbed by current
economic, political or social conditions, or to provide an additional amount to the original appropriation which
proved to be inadequate or insufficient for the particular purpose intended.
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117.This is an appropriation consisting of specified amounts for salaries, wages, and sundry expenses, etc.,
authorized by the sanggunian as necessary for the regular operations of the local government unit during any
given year.
118.It is based on estimated income and program of expenditures for a given year.
a. The Local Budget
b. Allotment
c. Appropriation
d. General Fund
e. Allotment System
119.It is a system of budget control to ensure that obligations incurred will not exceed appropriations or
authorizations made by appropriation ordinance, directing the payment of goods and services from local
government funds under specified conditions or purposes.
a. The Local Budget
b. Allotment
c. Appropriation
d. General Fund
e. Allotment System
120.It is an authorization issued by the Local Chief Executive to a department/office of the local government
unit, which allows it to incur obligations for specified amounts within its appropriations.
a. The Local Budget
b. Allotment
c. Appropriation
d. General Fund
e. Allotment System
121.This is the yearly overall financial plan of the local government unit equivalent to its approved appropriation
disaggregated into components or categories.
a. Physical Performance Targets
b. Local Budget Matrix
c. Obligation
d. Cash Program
e. Allotment
122.This reflects the targeted units of work under each program/activity/project (P/A/P) for each department/office
based on the historical data of peaks and slumps of activities/tasks and the peculiar requirements of certain
P/A/Ps.
c. Obligation
d. Cash Program
e. Allotment
123.This must be able to facilitate the management of cash such that it is available when it is needed for payment of
obligations and at the same time optimizes its utilization.
c. Obligation
d. Cash Program
e. Allotment
Page 17 of 45
124.This refers to the amount committed to be paid by the local government unit for any lawful act made by an
accountable officer for and in behalf of the local government unit concerned.
c. Obligation
d. Cash Program
e. Allotment
125.The Local Budget Matrix classifies budgetary items under the following except:
a. Unprogrammed Appropriation
b. Revenue Collection
c. Not-Needing Clearance
d. Reserve
e. Later Release

Philippine Board Reviewer | Book 3 | Chapter 2 | 15 Questions
Chapter 2. Concept of Appropriation, Allotment, Obligation and Expenditure
126.The following provides for the steps in the obligation process except:
a. The sanggunian authorizes the preparation of an appropriation consisting of specified amounts for an
obligation in accordance with the Annual Budget.
b. The Head of the requesting office in the local government unit shall prepare the Obligation Request and the
Disbursement Voucher.
c. The Local Budget Officer shall certify as to the existence of available appropriation that has been legally
made for the purpose and shall maintain the appropriate Registries of Appropriation, Allotments and
Obligations.
d. The Local Accountant shall certify the obligation of allotment and completeness of supporting documents.
127.This includes all charges against the fund of the local government unit for current operating expenditures,
capital outlays and provisions for retirement of long term obligations.
a. Current Operating Expenditures
b. Unnecessary Expenditures
c. Irregular Expenditures
d. Government Expenditures
e. Capital Outlays
128.This refers to appropriations for the purchase of goods and services for current consumption or for benefits
expected to terminate within the fiscal year.
e. Capital Outlays
129.This refers to appropriations for the purchase of goods and services, the benefits of which extend beyond the
fiscal year and which add to the assets of local government unit concerned.
e. Capital Outlays
130.This signifies that the expenditure incurred does not adhere to established rules, regulations, procedural
guidelines, policies, principles or practices that have gained recognition in law.
a. Unnecessary Expenditures
b. Extravagant Expenditures
Page 18 of 45
c. Excessive Expenditures
d. Irregular Expenditures
e. Unconscionable Expenditures
131.This pertains to expenditures which could not pass the test of prudence or the obligation of a good father of a
family, thereby not responsive to the exigencies of the service.
132.It signifies expenses without knowledge or sense of what is right, reasonable and just and not guided or
restrained by conscience.
133.This signifies unreasonable expense or expenses incurred at an immoderate quantity or exorbitant price.
134.This signifies those incurred without restraint, judiciousness and economy. These expenditures exceed the
bounds of propriety and are immoderate, prodigal, lavish, luxurious, wasteful, grossly excessive, and injudicious.
135.The following are considered irregular expenditures except:
a. Office equipment and property without the proper identification or inventory markings.
b. Reimbursement of expenses incurred by persons other than authorized representatives of the LGU for
attending conferences, meetings and other official functions.
c. Payment for emergency purchase, where there is no emergency.
d. Payments made on the basis of split requisitions, purchase orders, vouchers or checks even with approval by
proper authority of the LGU.
e. Bringing home government motor vehicles after office hours by officials to whom these are assigned.
136.The following expenditures are considered unnecessary except:
a. Grant of overtime pay for work that is not urgent in nature as to require completion within a specified time
or that can be undertaken during regular office hours.
b. Expenses for advertisement of anniversaries, etc., in newspapers, television or radio merely for publicity or
propaganda purposes.
c. Use of air conditioners when not needed, or even during the absence of the official in whose room the air
conditioner is installed.
d. Use of table lamps while working in the office where the room is adequately illuminated from the ceiling
lights.
137.Excessive Expenditures signify unreasonable expense or expenses incurred at an immoderate quantity or
exorbitant price. The price is excessive if it is more than what percentage of allowable price variance between
than the price for the item bought and the price for the same item per canvass of the auditor.
a. 33
b. 10
c. 20
d. 15
Page 19 of 45
e. 50
138.To determine if the price is excessive, the following factors may be considered except:
a. Supply and Demand Forces in the Market
b. Government Price Quotations
c. Special Discount for Bulk Orders
d. Warranty of Products or Special Features
e. Brand of Products
139.The following expenditures are considered excessive except:
a. Payment for maintenance of government vehicles and replacement of parts beyond their life cycle.
b. Overpricing of purchases characterized by grossly exaggerated or inflated quotations, in excess of the
current and prevailing market price by a 10% variance from the purchased item.
c. Payment for repair of government equipment at a cost exceeding 30% of the current market price of the
same or similar equipment.
d. Expenditures for supplies and materials in quantities beyond that required and needed by the LGU for a
determinable period, resulting in overstocking.
140.The following expenditures are considered extravagant except:
a. Purchase of luxurious and expensive office furnishings for office buildings.
b. Purchase of wines, liquors, cigars and cigarettes.
c. Installation of highly sophisticated outdoor signs, billboards and neon signs advertising the office.
d. Purchase of expensive cars for the use of the Justices of the Supreme Court and the Heads of Constitutional
Commissions.

Philippine Board Reviewer | Book 3 | Chapter 3 | 15 Questions Chapter 3. Disbursements of Local Funds
141.It constitutes all payments made during a given period either in currency, by check, through bank and electronic
transfers, telegraphic transfers, letters of credit, credit/debit cards and other non- conventional modes of
payment.
a. Local Funds
b. Appropriations
c. Disbursements
d. Savings
142.Disbursements of public funds shall be guided by the following prohibitions except:
a. Advance Payments
b. Expenditures for Religious or Private Purposes
c. Expenses for Reception and Entertainment
d. Cash Overdrafts in the Treasury
143.Disbursements from the General Fund and Special Education Fund shall require the following except:
a. Certification as to existence of appropriation that has been legally made for the purpose by the Local Budget
Officer.
b. Certification as to necessity, legality, as well as to the validity, propriety and legality of support documents
by the head of the requesting department or office.
c. Certification in the Disbursement Voucher by the Local Accountant and the Local Treasurer.
d. Approval by the Local Chief Executive.
144.Disbursement from the Trust Fund shall require the following except:
a. Certification by the Local Budget Officer
b. Certification by the Local Treasurer
c. Certification by the Local Accountant
d. Approval by the Local Chief Executive
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e. Necessary documents are attached to the disbursement vouchers/payrolls.
145.It is used for the payment of salaries and other emoluments of government employees.
a. Human Resource Budget
b. General Payroll
c. Daily Wage Payroll
d. Local Fund
e. Payroll
146.These are those granted to Cashiers, Disbursing Officers, Paymasters and/or Property/Supply Officers
separately.
a. Commutable Allowances
b. Honoraria to officials and employees
c. Special Cash Advances
d. Regular Cash Advances
e. Salaries and Wages
147.These are those granted on the explicit authority of the Local Chief Executive only to duly designated
disbursing officers or employees for other legally authorized purposes.
a. Commutable Allowances
b. Honoraria to officials and employees
c. Special Cash Advances
d. Regular Cash Advances
e. Salaries and Wages
148.The cash advance for petty operating expenses shall be sufficient for the recurring expenses of the agency for:
a. 15 days
b. 1 month
c. 1 quarter
d. 6 months
e. 1 year
149.The Accountable Officer may request replenishment of the case advance when the disbursements reach at least:
a. 10%
b. 25%
c. 50%
d. 75%
150.The cash advance shall be supported by which document(s):
a. Written authority by the Local Chief Executive
b. Approved application for bond
c. Estimate of expenses
d. None of the above
e. All of the above
151.The amount of the cash advance shall be limited to the requirements for 2 months. The Accountable
Officer shall submit a Report of Disbursements:
a. Within 3 days after the end of each month
b. Within 5 days after the end of each month
c. Within 10 days after the end of each month
d. Within 15 days after the end of each month
e. Within 30 days after the end of each month
152.Travels and payment of travel expenses of officials and employees of National Government Agencies will
require approval of the Department Secretary or his equivalent if it will last more than:
a. 10 days
b. 15 days
c. 30 days
d. 45 days
e. 60 days
153.The travel expenses of government personnel regardless of rank and destination shall be in the amount of:
a. Php 500.00
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b. Php 800.00
c. Php 1,500.00
d. Php 5,000.00
e. Any amount as requested
154.The cash advance voucher for official foreign travel shall be supported by which document(s):
a. Travel Order
b. Itinerary of Travel
c. Authority from the President to claim Representation Expenses, when applicable.
d. Certification of the local official or employee concerned duly verified by the Local Accountant to the effect
that no clothing allowance had been received during the next preceding 24 months, if clothing allowance is
being claimed.
e. Official receipts of initial expenses made in preparation for such travel.
155.Cash advance for salaries and wages shall be liquidated within the prescribed period of:
a. 3 days after each 15 day/end of the month pay period
b. 5 days after each 15 day/end of the month pay period
c. 15 days after each 15 day/end of the month pay period
d. 30 days after each 15 day/end of the month pay period

Philippine Board Reviewer | Book 3 | Chapters 3-5 | 15 Questions Chapter 3. Disbursements of Local Funds
156.Cash advance for Petty Operating Expenses and Field Operating Expenses shall be liquidated within the
prescribed period of:
a. 3 days after the end of the year
b. 5 days after the end of the year
c. 15 days after the end of the year
d. 20 days after the end of the year
e. 30 days after the end of the year
157.A cash advance has to be returned or refunded immediately to the Collecting Officer if it has not been used for
period of:
a. 2 months
b. 3 months
c. 6 months
d. 1 year
e. 2 years
158.Liquidation of the cash advance for Petty Operating Expenses shall be supported by the following reports and
documents except:
a. Report of Disbursements
b. Approved Requisition and Issue Voucher with the Certificate of Emergency Purchase, if necessary
c. Receipts, Sales Invoices
d. Certificate of Acceptance/Inspection
e. Canvass of at least 3 suppliers
159.Examples of the use of intelligence and/or confidential expenses are as follows except:
a. Purchase of information relevant to security and peace and order.
b. Payment of allowances for special security personnel.
c. Payment of rewards.
d. Rentals and other incidental expenses related to the maintenance of safe houses.
e. Purchase of supplies, materials and equipment necessary for intelligence and confidential operations
and/or projects.
160.The annual appropriations for discretionary purposes of the local chief executive shall not exceed at what
percentage of the actual receipts derived from basic real property tax in the next preceding calendar year.
a. 2
b. 3
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c. 5
d. 10
Chapter 4. Barangay Appropriations, Commitments and Disbursements
161.The Barangay Kagawad who is designated as Chairman of the Committee on Appropriation shall be responsible
in monitoring the approved appropriations and the charges against the following funds except:
a. 20% Development Fund
b. Calamity Fund
c. Sangguniang Kabataan Fund
d. The Local Budget
e. Gender and Development Fund
162.The following are classified as Personal Services except:
a. Salaries and Wages (Regular)
b. Salaries and Wages (Contractual)
c. Special allowances
d. Honoraria
e. Cash Gift
163.The frequency of which the Barangay Treasurer shall record all the checks issued in the Summary of Checks
Issued.
a. Daily
b. Weekly
c. At the end of the month
d. On or before the 5th day of the following month
164.The frequency of which the Barangay Record Keeper shall record check disbursement based on the certified
Summary of Checks Issued in the Check Disbursement Register.
a. Daily
b. Weekly
165.The schedule of which the Barangay Record Keeper shall submit the Check Disbursement Register together with
the Summary of Check Issued to the City/Municipal Accountant for recording of the checks issued in the books.
a. Daily
b. Weekly
166.The schedule for which the Check Disbursement Register shall be totaled, balanced, ruled recapitulated
and certified.
a. Daily
b. Weekly
167.The barangay Disbursement Voucher in 4 copies shall be distributed to the following except:
a. Local Auditor concerned
b. City/Municipal Accountant
c. Attached to the city/municipal Disbursement Voucher
d. Barangay Treasurer
e. Punong Barangay
168.The cash advance for payroll charged against Barangay Funds maintained by depository bank shall be liquidated.
a. Within 3 days after the end of the pay period
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b. Within 5 days after the end of the pay period
c. Upon demand by the Barangay Treasurer
d. Upon full release of the amount to intended recipients
e. Within 15 days after the end of the pay period
Chapter 5. Sangguniang Kabataan Budget
169.At what percentage of the General Fund of the barangay shall the budget for the Sangguniang Kabataan be?
a. 10%
b. 3%
c. 20%
d. 5%
170.Sanggunian Kabataan budgeting is the same as that of the other LGUs. The major phases are the following
except:
a. Budget Preparation
b. Budget Authorization
c. Budget Review and Execution
d. Budget Accountability and Reporting

Book Four: Fund Management Practices, Accountability, Cash Examination, Shortages and Settlement of Accounts of
Local Treasurers, and Liabilities of Local Treasurers in the Administration of Local Taxes, Fees, and Charges
Philippine Board Reviewer | Video #11 | Book 4 | Chapter 1 | 20 Questions Chapter 1. Fund Management Practices
171.It is the exercise of economic, political and administrative authority to manage a country’s/local government
affairs at all levels. It comprises mechanisms, processes, and institutions through which citizens and groups
articulate their interests, exercise their legal rights, meet their obligations, and mediate their differences.
a. Cash Programming Tools
b. Cash Flow from Operating Activities
c. Cash Flow Forecast
d. Good Governance
e. Cash Management and Programming
172.It allows Local Treasurers to manage the cash such that it is available when it is needed for payment of
obligations and at the same time optimize its utilization, ensure that released allotments are adequately covered
by available cash and/or future collections, and provide information to facilitate the control of expenditures.
d. Good Governance
173.It aids the Local Treasurer in cash management and programming such as Cash Flow Forecast and the Cash Flow
Analysis.
d. Good Governance
174.It is a monthly schedule of anticipated receipts and disbursements of the local government unit for the fiscal
year showing the beginning and ending cash balances of each month.
d. Good Governance
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175.It pertains to the receipts from, and disbursements of cash out of, the regular and primary operations of the
local government unit such as from collection of taxes, share from IRA, payment to creditors and employees, etc.
d. Good Governance
e. Cash Management and Programmin
176.It includes receipt of cash from bank loans, proceeds from the floatation of bonds and receipts from other types
of borrowings.
a. Cash Flow from Investing Activities
b. Cash Disbursement Forecast
c. Cash Flow from Financing Activities
d. Cash Flow Analysis
e. Cash Receipts Forecast
177.It pertains to receipts from the sale, acquisition or purchase of long term investments such as real estate,
machinery and other Plant, Property and Equipment.
178.It is a schedule of all income collections and other receipts to be prepared by all collecting units. All receipts shall
also be classified into operating, financing and investing activities.
179.It is a schedule of all expenditures to be prepared by the local treasury personnel in charge of expenditures
and disbursements.
180.It is a cash flow monitoring tool used to guide the Local Chief Executive, the Local Treasurer, and the Local
Budget Officer to control the releases of allotment depending on the collection/expenditure performance during
the period.
181.It is the ratio of the Present Value of Annual Cash Returns discounted at the lowest acceptable rate to the
Present Value of the Initial Investment Cost.
a. Present Value Index
b. Time value of money
c. Net Present Value
d. Discounted Rate of Return
e. Annual Cash Inflow
182.It is the amount of cash a project is expected to generate annually, and equal to the cash inflows from projected
sales and or service fees minus the estimated cash outflows for operational expenses.
Page 25 of 45
183.It refers to the expected increase in its peso value considering the prevailing interest rates, the passage of
time, and opportunity cost of capital and similar factors.
184.It is the rate at which an investment is earning, and equates the present value of cash returns with the present
value of the initial investment.
185.It represents the excess of the present value of annual cash returns (discounted at the lowest acceptable
rate) over the present value of the initial capital investment.
186.It refers to the estimated useful life of an asset or that length of period during which economic benefits can
be derived therefrom.
a. Cost of money
b. Economic life
c. Scrap value
d. Payback Period
187.It refers to the length of time or number of years it will take to recover the initial outlay for a project.
a. Cost of money
b. Economic life
c. Scrap value
d. Payback Period
188.The LGU should consider long-term financing for the acquisition, maintenance and replacement or expansion of
physical assets (including land) only if the economic enterprise would be expected to generate revenue in the
near term or if these assets have a useful life of at least:
a. 1 year
b. 3 years
c. 5 years
d. 10 years
189.Cash Programming Tools such as Cash Flow Forecast and Cash Flow Analysis can provide the following
information except:
a. Effectiveness of the Local Chief Executive
b. Excess in the collection of taxes and other revenues
c. Under-collection of taxes and other revenues
d. Under-disbursement or excess in the disbursement
e. Large amount of idle cash that may be invested
190.When funding competing capital projects, the viability and approvability of the project and its funding from
long-term debt should be assessed based on the following factors except:
a. Approval from the Local Chief Executive
Page 26 of 45
b. Nature of the project and uses of funds
c. Cost-benefit analysis of the project
d. Expenditure plan and sources of debt financing

Philippine Board Reviewer | Book 4 | Chapter 2 | 15 Questions - Definition of Terms
Chapter 2. Accountability, Responsibility, and Liability of Local Treasurers for Funds and Property
191.It refers to the answerability of every public officer whose duties permit or require the possession or custody of
government funds or property and who shall be accountable therefor and for the safekeeping thereof in
conformity with law.
a. Liability
b. Public Service
c. Accountability
d. Honesty
e. Responsibility
192.The obligation to prudently exercise assigned or imputed authority attaching to the assigned or imputed role
of an individual or group participating in organizational activities or decision.
a. Liability
b. Public Service
c. Accountability
d. Honesty
e. Responsibility
193.The officer of any government agency whose duties permit or require the possession or custody of government
funds or property, (such as the Local Treasurer, Collecting Officer, Disbursing Officer, Cashier, Paymaster, and
Property Officer) who is required by law to render account to the Commission on Audit.
a. Persons Responsible
b. Accountable Officer
c. Local Treasurer
d. Persons Liable
194.The persons determined by the auditor to be answerable for an audit disallowance or charge arising from the
post-audit of transaction or examination of the cash and accounts of an accountable officer.
c. Local Treasurer
d. Persons Liable
195.The persons determined by the auditor to be answerable for compliance with the audit requirements
as called for in the notice of suspension.
c. Local Treasurer
d. Persons Liable
196.A written notification by the Auditor to the agency head and the accountable officer concerned of the total
suspensions, disallowances and charges found in audit, as well as the settlements thereof.
a. Disallowance
b. Settlement
c. Certificate of Settlement and Balances
d. Termination
Page 27 of 45
e. Suspension
197.The process of determining the status or balance of the accountability of an accountable officer.
a. Disallowance
b. Settlement
d. Termination
e. Suspension
198.The deferment of action to allow or disallow in audit a transaction pending compliance with certain
requirements.
a. Disallowance
b. Settlement
d. Termination
e. Suspension
199.The disapproval in audit of a transaction, either in whole or in part.
a. Disallowance
b. Settlement
d. Termination
e. Suspension
200.These are items of property, plant and equipment and are referred to as such because of their permanent
nature and because they are not subject to rapid turnover.
a. Quick Assets
b. Liability
c. Fixed Assets
d. Equity
e. Current Assets
201.The following are examples of fixed assets except:
a. Equipment
b. Furniture and fixtures
c. Land
d. Office Supplies
e. Building
202.A personal obligation arising from an audit disallowance or charge in the course of post audit of a transaction or
examination of the cash and accounts of an accountable officer.
a. Quick Assets
b. Liability
c. Fixed Assets
d. Equity
e. Current Assets
203.Cash and other assets that are not earmarked for specific purposes other than the payment of a current liability
or a readily marketable investment.
a. Quick Assets
b. Liability
c. Fixed Assets
d. Equity
e. Current Assets
204.A holding that can be converted into cash within a short period of time.
a. Quick Assets
b. Liability
c. Fixed Assets
d. Equity
e. Current Assets
205.It is the process of elevating to the next higher authority a decision, order, or ruling.
a. Settlement
Page 28 of 45
b. Appeal
c. Reconsideration
d. Complaint

Philippine Board Reviewer | Book 4 | Chapter 2B | 15 Questions
206.When a Local Treasurer or officer accountable for government funds or property absconds with them, dies, or
becomes incapacitated in the performance of his duties, in the case of funds and property of the province, city
and municipality, the designation of a custodian to take charge of the funds or property until a successor shall
have been appointed and qualified shall be made by:
a. President of the Philippines
b. Local Chief Executive
c. Governor
d. Secretary of Finance
e. COA Director
207.When a loss of government funds or property occurs while they are in transit or the loss is caused by fire, theft,
or other casualty or force majeure, the officer accountable therefor or having custody thereof shall immediately
notify the Commission on Audit or auditor concerned and, unless the auditor allows a longer period, shall
present his application for relief with the available supporting evidence within:
a. 30 days
b. 45 days
c. 60 days
d. 90 days
208.The sealing of safe and other cash receptacles shall be resorted to by the examining officer only in the following
exceptional cases except:
a. The absence or non-appearance of the accountable officer for the count.
b. When the accountable officer refuses to submit himself to cash examination.
c. An interruption or the non-completion of the count during the day or the necessity of controlling cash, cash
items and records.
d. In cases of deceased, incapacitated or absconding accountable officer pending the cash count to be
conducted by a committee created to make an inventory of his cash, cash items and other accountabilities.
e. When prima facie evidence of missing funds has been established.
209.The following shall be disallowed as credit to accountable officer’s accountability except:
a. Post-dated Checks and Treasury Warrants
b. Chits, IOUs, Vales or other forms of Promissory Notes
c. Cash and cash items
d. Demonetized Bills and Coins and Unacceptable Mutilated Bills
e. Private Checks not made payable to the agency or the official title or designation of the agency head
210.After the cash examination is completed, the auditor shall prepare and submit a final narrative report which
shall contain:
a. Introduction
b. Findings
c. Recommendations
d. All of the above
211.A person who, by direct provision of the law, popular election or appointment by competent authority, shall take
part in the performance of public functions in the government, or shall perform in said government or in any of
its branches public duties as an employee, agent, or subordinate official, of any rank or class.
Page 29 of 45
a. Public officer
b. Accountable officer
c. Auditor
d. Local Treasurer
e. Examining officer
212.Auditors of all government agencies shall certify the balances arising in the accounts settled by them to the
Commission on Audit and to the proper Local Treasurer, Collecting Officer, or Disbursing Officer, in such form as
the Commission on Audit may prescribe, within:
a. 30 days
b. 45 days
c. 60 days
d. 90 days
213.Unless extended in writing and for good cause, a charge of suspension by the accountable officer shall become a
disallowance if after receipt of the certificate or notice it is not satisfactorily explained within:
a. 30 days
b. 45 days
c. 60 days
d. 90 days
214.It summarizes all suspensions, disallowances and charges found in audit, including the settlements thereof as of
a given date.
a. Notice of Suspensions
b. Certificate of Settlement and Balances
c. Notice of Disallowance
d. Notice of Charge
e. Credit Notice
215.It shall be issued as often as suspensions are made by the auditor for the purpose of notifying the agency head
and the accountable officer concerned on the suspended transactions.
d. Credit Notice
e. Audit Observation Memorandum
216.It shall be used and issued as often as disallowance are made by the auditor in order to notify the agency head,
the accountable officers concerned, and the other persons liable for the disallowed transaction.
d. Notice of Charge
e. Credit Notice
217.It is issued by the auditor to the accountable officer within 30 days from receipt of the report of disbursements
for liquidation of cash advances, to inform the latter of the amount allowed in audit and any suspensions and/or
disallowance made.
d. Notice of Charge
e. Credit Notice
218.It shall be used and issued as often as charges are made by the auditor to notify the agency head, accountable
officer concerned and other persons liable for the deficiencies noted in the audit of revenues and receipts.
d. Notice of Charge
Page 30 of 45
e. Credit Notice
219.The Certificate of Settlement and Balances shall be issued for every accountable officer and for each fund
within:
a. 10 days after the end of each quarter
b. 30 days after the end of each quarter
c. 60 days after the end of each quarter
d. 90 days after the end of each quarter
220.It shall be issued to the agency head and/or other officials concerned relative to the findings/observations/other
deficiencies noted in the audit of accounts/transactions and requiring comment/reply thereto within the period
specified therein.
a. Notice of Disallowance
b. Audit Observation Memorandum
c. Credit Notice
d. Auditor’s Order

Philippine Board Reviewer | Book 4 | Chapters 2-3
221.It shall be used by the auditor to enforce the settlement of audit disallowances and charges, whenever the
persons liable therefor refuse or fail to voluntarily settle the disallowances and charges after the decision has
become final and executor.
a. Notice of Disallowance
b. Audit Observation Memorandum
c. Credit Notice
d. Auditor’s Order
222.All transactions which are irregular, unnecessary, excessive and extravagant and those which are illegal and
unconscionable. These are:
a. Grounds for Disallowance
b. Grounds for Charges
c. Grounds for Suspension
d. Grounds for Termination
223.Transactions or accounts which could otherwise have been settled for some documentary or technical
requirements and those the legality/propriety/regularity of which the auditor doubts, but which may possibly be
allowed in audit after satisfactory explanation or valid justification by the parties concerned. These are:
224.When there is error in the assessment which resulted in under collection, and error in the computation of the
amount due the payor which may either be over collection or under collection. These are:
225.The liability of public officers and other persons for audit disallowances shall be determined on the basis of the
Page 31 of 45
following except:
a. Nature of the Disallowance
b. Duties, responsibilities or obligations of the officers/persons concerned
c. Extent of their participation or involvement in the disallowed transaction
d. Amount of losses or damages suffered by the government thereby
e. Financial capacity of the accountable officer
226.Unless a request for reconsideration is filed or an appeal is taken, the Report, Certificate of Settlement and
Balances, Order or Decision of the auditor shall become final after notice thereof to the parties concerned upon
the expiration of:
a. 1 month
b. 3 months
c. 6 months
d. 12 months
Chapter 3. Administrative, Civil, and Criminal Liabilities of Local Treasurers in the Administration
227.Under R. A. No. 7160, failure to post and publish the itemized monthly collections and
disbursements of the LGU within the prescribed period shall be punished by:
a. A fine not exceeding Php 500.00 or by imprisonment not exceeding 1 month or both
b. A fine between Php 1,000.00 – Php 5,000.00 or by imprisonment between 1 – 6 months or both
c. A fine between Php 200.00 – Php 10,000.00 or penalty of prision correccional in its minimum period or both
d. Sufficient ground for administrative disciplinary action against the officials and employees involved
e. Automatic dismissal from the service after due notice and hearing
228.Under the Revised Penal Code, frauds against the public treasury and similar offenses by a public officer, such as
(1) Demanding, directly or indirectly, the payment of sums different from or larger than those authorized by law,
(2) Failing voluntarily to issue a receipt, as provided by law, for any sum of money collected by him officially, (3)
Collecting or receiving, directly or indirectly, by way of payment or otherwise, things or objects of nature
different from that provided by law, shall be punished by:
229.Under R. A. No. 7160 and without prejudice to criminal prosecution under the Revised Penal Code and other
applicable laws, any Local Treasurer who fails to issue or execute the warrant of distraint or levy after the
expiration of the time prescribed, or who is found guilty of abusing the exercise thereof by competent authority
shall be punished by:
230.Under R. A. No. 7160, the enforcement of any tax ordinance or revenue measure after due notice of the
disapproval or suspension thereof shall be:
231.Under R. A. No. 7160, failure to collect tax due on real property by any officer or to dispose of delinquent
real property at public auction by the Local Treasurer shall be punished by:
Page 32 of 45
232.Any public officer who is guilty of the misappropriation or malversation of funds or property shall suffer the
penalty of reclusion temporal in its minimum and medium periods, if the amount involved is:
a. Php 200.00 – Php 2,000.00
b. Php 2,000.00 – Php 6,000.00
c. Php 6,000.00 – Php 12,000.00
d. Php 12,000.00 – Php 22,000.00
penalty of prision correccional in its minimum and medium periods, if the amount involved is:
a. Php 200.00 – Php 2,000.00
b. Php 2,000.00 – Php 6,000.00
c. Php 6,000.00 – Php 12,000.00
d. Php 12,000.00 – Php 22,000.00
penalty of prision mayor in its maximum period to reclusion temporal in its minimum period, if the amount
involved is:
a. Php 200.00 – Php 2,000.00
b. Php 2,000.00 – Php 6,000.00
c. Php 6,000.00 – Php 12,000.00
d. Php 12,000.00 – Php 22,000.00
penalty of prision mayor in its maximum and medium periods, if the amount involved is:
a. Php 200.00 – Php 2,000.00
b. Php 2,000.00 – Php 6,000.00
c. Php 6,000.00 – Php 12,000.00
d. Php 12,000.00 – Php 22,000.00
#15 BCLTE - LTOM Book 5 Chapter 1A

Book Five: Detailed Procedures on Real Property Tax Business Tax Fees and Charges and Other Resource Mobilization
Philippine Board Reviewer | Book 5 | Chapter 1 | 20 Questions - Definition of Terms Chapter 1. Real Property Taxes
236.It refers to the actual cost of the machinery to its present owner, plus the cost of transportation, handling, and
installation at the present site. This is applicable for newly acquired machinery not yet depreciated and
appraised within the year of its purchase.
a. Acquisition Cost
b. Actual Use
c. Ad Valorem Tax
d. Market Value
e. Amortization
237.It is a levy on real property determined on the basis of a fixed proportion of the value of the real property.
a. Acquisition Cost
b. Actual Use
c. Ad Valorem Tax
d. Market Value
e. Amortization
238.It refers to the principal purpose for which the property is principally or predominantly utilized by the person in
possession thereof.
a. Acquisition Cost
b. Actual Use
c. Ad Valorem Tax
Page 33 of 45
d. Market Value
e. Amortization
239.It is a valuable addition made to a property or an amelioration in its condition, amounting to more than a mere
repair or replacement of parts involving capital expenditures and labor, which is intended to enhance its value,
beauty or utility or to adapt it for new or further purposes.
a. Appraisal
b. Assessment
c. Assessment Level
d. Re-assessment
e. Improvement
240.It is the act or process of determining the value of property as of a specific date for a specific purpose.
a. Appraisal
b. Assessment
c. Assessment Level
d. Re-assessment
e. Improvement
241.It is the assigning of new assessed values to property, particularly real estate, as the result of general,
partial, or individual reappraisal of the property.
a. Appraisal
b. Assessment
c. Assessment Level
d. Re-assessment
e. Improvement
242.It is the act or process of determining the value of a property, or proportion thereof subject to tax, including the
discovery, listing, classification, and appraisal of properties.
a. Appraisal
b. Assessment
c. Assessment Level
d. Re-assessment
e. Improvement
243.It is the percentage applied to the fair market value to determine the taxable value of the property.
a. Appraisal
b. Assessment
c. Assessment Level
d. Re-assessment
e. Improvement
244.It is the price at which a property may be sold by a seller who is not compelled to sell and bought by a buyer who
is not compelled to buy.
a. Assessed Value
b. Depreciated Value
c. Fair Market Value
d. Remaining Value
e. Replacement or Reproduction Cost
245.It is the cost that would be incurred on the basis of current prices, in acquiring an equally desirable substitute
property, or the cost of reproducing a new replica of the property on the basis of current prices with the same or
closely similar material.
a. Assessed Value
d. Remaining Value
246.It is the value remaining after deducting depreciation from the acquisition cost.
a. Assessed Value
Page 34 of 45
d. Remaining Value
247.It is the value corresponding to the remaining useful life of the machinery.
a. Assessed Value
d. Remaining Value
248.It is the fair market value of the real property multiplied by the assessment level. It is synonymous to taxable
value.
a. Assessed Value
d. Remaining Value
249.It embraces machines, equipment, mechanical contrivances, instruments, appliances, or apparatus which may or
may not be attached, permanently or temporarily, to the real property.
a. Useful Life
b. Remaining Economic Life
c. Assets
d. Economic Life
e. Machinery
250.It is the period of time expressed in years from the date of appraisal to the date when the machinery
becomes valueless.
a. Useful Life
c. Assets
d. Economic Life
e. Machinery
251.It is the estimated period over which it is anticipated that a piece of machinery or equipment may be profitably
utilized.
a. Useful Life
c. Assets
d. Economic Life
e. Machinery
252.It is land devoted principally to industrial activity as capital investment and is not classified as agricultural,
commercial, timber, mineral, or residential land.
a. Commercial Land
b. Idle Lands
c. Industrial Land
d. Mineral Lands
e. Residential Land
253.It is land devoted principally for the object of profit and is not classified as agricultural, industrial, mineral,
timber, or residential land.
a. Commercial Land
b. Idle Lands
c. Industrial Land
d. Mineral Lands
e. Residential Land
254.It is land principally devoted to habitation.
a. Commercial Land
b. Idle Lands
c. Industrial Land
d. Mineral Lands
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e. Residential Land
255.These are lands in which minerals, metallic or non metallic, exist in sufficient quantity or grade to justify the
necessary expenditures to extract and utilized such materials.
a. Commercial Land
b. Idle Lands
c. Industrial Land
d. Mineral Lands
e. Residential Land

Philippine Board Reviewer | Book 5 | Chapter 1 | 15 Questions
Chapter 1. Real Property Taxes
256.The appraisal, assessment, levy and collection of real property tax shall be guided by the following fundamental
principles except:
a. Real property shall be appraised at its current and fair market value.
b. Real property shall be classified for assessment purposes on the basis of its potential use.
c. Real property shall be assessed on the basis of a uniform classification within each local government
unit.
d. The appraisal, assessment, levy and collection of real property tax shall not be let to any private person.
e. The appraisal and assessment of real property shall be equitable.
257.A province or city or municipality within Metropolitan Manila Area shall fix a uniform rate of basic real property
tax applicable to their respective jurisdiction. For provinces, at what maximum rate of the Assessed Value should
the levy be?
a. 1%
b. 2%
c. 3%
d. 5%
e. 10%
258.A province or city or municipality within Metropolitan Manila Area shall fix a uniform rate of basic real property
tax applicable to their respective jurisdiction. For cities, or municipalities of Metropolitan Manila Area, at what
maximum rate of the Assessed Value should the levy be?
a. 1%
b. 2%
c. 3%
d. 5%
e. 10%
259.For additional Ad Valorem Tax on idle lands, at what maximum rate of the assessed value of the property may a
province or city, or a municipality within the Metropolitan Manila Area levy an annual tax in addition to the basic
real property tax?
a. 1%
b. 2%
c. 3%
d. 5%
e. 10%
260.For additional levy on real property tax for the Special Education Fund outside of Metropolitan Manila Area,
who has the authority to impose the additional SEF tax?
a. Local Treasurer
b. Local Chief Executive
c. Barangay Chairman
d. Municipality
e. Province
261.A province, city or municipality may impose a special levy on the lands comprised within its territorial jurisdiction
Page 36 of 45
specially benefited by public works projects or improvements funded by the LGU concerned. The tax ordinance
imposing the levy shall meet the following requirements except:
a. Describe with reasonable accuracy the nature, extent, and location of the public works projects or
improvements to be undertaken.
b. State the estimated cost of the public works projects or improvements.
c. Identify the lands and owners to be affected or the persons having legal interest therein.
d. Specify the meters and bounds by monuments and lines.
e. Specify the number of annual installments for the payment of the special levy.
262.The following are exempt from real property tax except:
a. Autonomous regions
b. Government-Owned or Controlled Corporations
c. Provinces and sub-provinces
d. Cities and municipalities
e. Barangays
263.It refers to any agency of National Government, not integrated within the department framework, vested with
special functions or jurisdiction by law, endowed with some if not all corporate powers, administering special
funds, and enjoying autonomy, usually through a charter.
a. Local Government Unit
b. Sanggunian
c. Local Treasurer
d. Instrumentality
e. Congress
264.The real properties owned by the following government-owned or controlled corporations are not exempt from
the real property tax except:
a. Philippine Economic Zone Authority
b. Bauang Private Power Corporation
c. McArthur Park and Beach Resort
d. Land Bank of the Philippines
e. Embassies, consulates, and other diplomatic officers
265.The real property tax for any year shall accrue and constitute a lien on the property which shall be superior to
any lien, mortgage, or encumbrance of any kind whatsoever, and shall be extinguished only upon the payment of
the delinquent tax, on:
a. April 15
b. January 1
c. January 31
d. September 30
e. December 31
266.The Provincial, City or Municipal Assessor shall prepare and submit to the Treasurer of the LGU an assessment
roll containing a list of all persons whose real properties have been newly assessed or re- assessed and the
values of such properties, on:
a. April 15
b. January 1
c. January 31
d. September 30
e. December 31
267.For the current year, the City or Municipal Treasurer shall, in the case of the basic real property tax for the SEF,
post the notice of the dates when the tax may be paid without interest at a conspicuous and publicly accessible
place at the city or municipal hall, on or before:
a. April 15
b. January 1
c. January 31
d. September 30
e. December 31
268.The owner of the real property or the person having legal interest therein may pay the real property tax and the
additional tax for SEF due thereon, without interest, in 4 equal installments, to be due and payable as follows:
Page 37 of 45
a. January 1, April 1, July 1, and October 1
b. January 31, April 30, July 31, and October 31
c. March 31, June 30, September 30, and December 31
d. April 15, July 15, October 15, and December 31
269.For payment of tax under protest, the taxpayer shall file a protest to the Provincial, City Treasurer, or Municipal
Treasurer in the case of a municipality within Metropolitan Area, within:
a. 30 days
b. 45 days
c. 60 days
d. 6 months
e. 2 years
270.The Provincial, City Treasurer, or Municipal Treasurer in the case of a municipality within Metropolitan Manila
Area shall decide the protest filed by the taxpayer when the payment was made under protest, within:
a. 30 days
b. 45 days
c. 60 days
d. 6 months
e. 2 years
#17 BCLTE - LTOM Book 5 Chapter 1C

Philippine Board Reviewer | LTOM | Book 5 | Chapter 1 | 15 Questions
271.An act providing for the recognition and use of electronic commercial and non-commercial transactions,
penalties for unlawful use thereof, and other purposes.
a. R. A. No. 7160
b. R. A. No. 6657
c. R. A. No. 6810
d. R. A. No. 8792
e. R. A. No. 7279
272.An act instituting a comprehensive agrarian reform program to promote social justice and
industrialization providing the mechanism for its implementation and for other purposes.
a. R. A. No. 7160
b. R. A. No. 6657
c. R. A. No. 6810
d. R. A. No. 8792
e. R. A. No. 7279
273.The basic real property tax and any other tax levied under Title 2, Book II of R. A. No. 7160 shall, from the date
they become due, be collected within:
a. 5 years
b. 7 years
c. 10 years
d. 15 years
e. 20 years
274.In case of fraud or intent to evade payment of the real property tax, an administrative or judicial action may be
instituted for the collection of the same, from the discovery of such fraud or intent to evade payment, within:
a. 5 years
b. 7 years
c. 10 years
d. 15 years
e. 20 years
275.The period of prescription within which to collect the real property tax levied under Title 2, Book II of R. A. No.
Page 38 of 45
7160 shall be suspended for the time during any the following scenarios except:
a. The Local Treasurer is legally prevented from collecting the tax.
b. The owner of the property has no financial capacity to pay the tax.
c. The owner of the property or the person having legal interest therein requests for re- investigation and
executes a waiver in writing before the expiration of the period within which to collect.
d. The owner of the property or the person having legal interest therein is out of the country or otherwise
cannot be located.
276.The Warrant of Levy shall be mailed to or served upon the delinquent real property owner or person having legal
interest therein, and after receipt of the same, the levying officer shall submit a report on the levy to the
sanggunian concerned within:
a. 3 days
b. 5 days
c. 10 days
d. 15 days
e. 30 days
277.After service of the Warrant of Levy, the Local Treasurer shall proceed to publicly advertise for sale or auction
the property or a usable portion thereof as may be necessary to satisfy the tax delinquency and expenses of sale
which shall be effected by the issuance of a Notice of Sale and the posting and publication thereof, within:
a. 3 days
b. 5 days
c. 10 days
d. 15 days
e. 30 days
278.It is issued by the Local Treasurer concerned, together with the official receipt and tax clearance which shall in
effect extinguish the tax lien on the property if the owner of the real property or person having legal interest
therein pays the delinquent tax, the interest due thereon and the expenses of sale before the date fixed for the
sale.
a. Certificate of Release
b. Proof of Service
c. Warrant of Levy
d. Certificate of Redemption
e. Certificate of Sale
279.It is issued by the Local Treasurer to the purchaser containing the name of the purchaser, a description of the
property sold, the amount of the delinquent tax, the interest due thereon, the expenses of sale and brief
description of the proceedings.
b. Proof of Service
c. Warrant of Levy
280.It is issued by the Local Treasurer to the owner of the delinquent real property or person having legal interest
therein invalidating the Certificate of Sale issued to the purchaser if he pays the amount of the delinquent tax,
including the interest due thereon and the expenses of the sale plus interest of 2% per month within one year
from date of sale.
b. Proof of Service
c. Warrant of Levy
281.In case there is no bidder for the real property advertised for sale, the local Treasurer shall purchase the
property in behalf of the LGU concerned. The taxpayer or any of his representative may redeem the property by
paying to the Local Treasurer the full amount of the real property tax and the related interest and cost of the
sale within:
a. 6 months
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b. 1 year
c. 2 years
d. 3 years
e. 5 years
282.For real estate taken for taxes, fees or charges, the sanggunian concerned may, by ordinance duly approved,
may dispose of the real property acquired under Section 263 of R. A. No. 7160 at public auction, upon notice of
not less than:
a. 5 days
b. 15 days
c. 20 days
d. 30 days
283.The proceeds of the basic real property tax, including interest thereon, and proceeds from the use, lease or
disposition, sale or redemption of property acquired by public auction by the province shall be distributed
accordingly. At what percentage of the proceeds will accrue to the General Fund of the province?
a. 35%
b. 70%
c. 40%
d. 50%
e. 25%
accordingly. At what percentage of the proceeds will accrue to the General Fund of the municipality where the
property is located?
a. 35%
b. 70%
c. 40%
d. 50%
e. 25%
disposition, sale or redemption of property acquired by public auction by the city shall be distributed
accordingly. At what percentage of the proceeds will accrue to the General Fund of the city?
a. 30%
b. 70%
c. 40%
d. 50%
e. 25%
accordingly. At what percentage of the proceeds will accrue to the barangay where the property is located?
a. 35%
b. 70%
c. 40%
d. 50%
e. 25%

Philippine Board Reviewer | LTOM | Book 5 | Chapters 1-2 | 15 Questions
accordingly. At what percentage of the proceeds will accrue to the barangay where the property is located or
Page 40 of 45
equally to all component barangays of the city?
a. 30%
b. 70%
c. 40%
d. 50%
e. 25%
accordingly. At what percentage of the proceeds shall be distributed among the component barangays of the
cities where the property is located?
a. 30%
b. 70%
c. 40%
d. 50%
e. 25%
Chapter 2. Business and Other Local Taxes
289.These are those imposed by a local government unit on the privilege of engaging in business, occupation
and other activities within its territorial jurisdiction.
a. Amusement Places
b. Agricultural Product
c. Business taxes
d. Business
e. Amusement
290.It includes the yield of the soil, such as corn, rice, wheat, rye, hay, coconuts, sugarcane, tobacco, root crops,
vegetables, fruits, flowers and their by-products; ordinary salt; all kinds of fish; poultry; and livestock and animal
products, whether in their original form or not.
a. Amusement Places
c. Business taxes
d. Business
e. Amusement
291.A pleasurable diversion and entertainment. It is synonymous to relaxation, avocation, pastime, or fun.
a. Amusement Places
c. Business taxes
d. Business
e. Amusement
292.These include theaters, cinemas, concert halls, circuses and other places of amusement where one seeks
admission to entertain oneself by seeing or viewing the show or performance.
a. Amusement Places
c. Business taxes
d. Business
e. Amusement
293.It means trade or commercial activity regularly engaged in as a means of livelihood or with a view to profit.
a. Amusement Places
c. Business taxes
d. Business
e. Amusement
294.It include non-bank financial intermediaries, lending investors, finance and investment companies, pawnshops,
money shops, insurance companies, stock markets, stock brokers and dealers in securities and foreign exchange,
as defined under applicable law, or rules and regulations thereunder.
Page 41 of 45
a. Central Bank
b. Credit card companies
c. Banks and other financial institutions
d. Financial service providers
e. Banking investments
295.It is the capital which a person employs in any undertaking, or which he contributes to the capital of a
partnership, corporation, or any other juridical entity or association in a particular taxing jurisdiction.
a. Corporation
b. Capital Investment
c. Contractor
d. Countryside and Barangay Business Enterprise
e. Charges
296.These refer to pecuniary liability, as rents or fees against persons or property.
a. Corporation
c. Contractor
e. Charges
297.It includes persons, natural or juridical, not subject to professional tax under Section 139 of R. A. No. 7160,
whose activity consists essentially of the sale of all kinds of services for a fee, regardless of whether or not the
performance of the service calls for the exercise or use of the physical or mental faculties of the contractor or his
employees.
a. Corporation
c. Contractor
e. Charges
298.It includes partnerships, no matter how created or organized, joint-stock companies, joint accounts (cuentas en
participacion), associations or insurance companies.
a. Corporation
c. Contractor
e. Charges
299.It refers to any business entity, association, or cooperative registered under the provisions of R. A. No. 6810.
a. Corporation
c. Contractor
e. Charges
300.It means one whose business is to buy and sell merchandise, goods, and chattels as a merchant. He stands
immediately between the producer or manufacturer and the consumer and depends for his profit not upon the
labor he bestows upon his commodities but upon the skill and foresight with which he watches the market.
a. Gross Sales or Receipts
b. Dealer
c. Franchise
d. Fee
e. Operator

Philippine Board Reviewer | LTOM | Book 5 | Chapter 2 | 15 Questions Chapter 2. Business and Other Local Taxes
301.It means a charge fixed by law or ordinance for the regulation or inspection of a business or activity.
Page 42 of 45
b. Dealer
c. Franchise
d. Fee
e. Operator
302.It is a right or privilege, affected with public interest which is conferred upon private persons or corporations,
under such terms and conditions as the government and its political subdivisions may impose in the interest of
public welfare, security, and safety.
b. Dealer
c. Franchise
d. Fee
e. Operator
303.It included the total amount of money or its equivalent representing the contract price, compensation or service
fee, including the amount charged or materials supplied with the services and the deposits or advance payments
actually or constructively received during the taxable quarter for the services performed or to be performed for
another person.
b. Dealer
c. Franchise
d. Fee
e. Operator
304.It includes every person who, by physical or chemical process, alters the exterior texture or form or inner
substance of any raw material or manufactured or partially manufactured product in such manner as to prepare
it for special use or uses to which it could not have been put in its original condition.
a. Marginal Farmer or Fisherman
b. Manufacturer
c. Municipal Waters
d. Motor Vehicle
e. Businessman
305.It refers to an individual engaged in subsistence farming or fishing which shall be limited to the sale, barter or
exchange of agricultural or marine products produced by himself and his immediate family, and whose annual
net income from such farming or fishing does not exceed Php 50,000.00 or the poverty line established by NEDA
for the particular region or locality, whichever is higher.
b. Manufacturer
c. Municipal Waters
d. Motor Vehicle
e. Businessman
306.It means any vehicle propelled by any power other than muscular power using the public roads, but excluding
road rollers, trolley cars, street sweepers, sprinkles, lawn mowers, bulldozers, graders, forklifts, amphibian
trucks, and cranes.
b. Manufacturer
c. Municipal Waters
d. Motor Vehicle
e. Businessman
307.It include streams, lakes, tidal waters within the municipality, marine waters included between two lines drawn
perpendicularly to the general coastline from points where the boundary lines of the municipality or city touch
the sea at low tide and a third line parallel with the general coastline and 15 kilometers from it.
b. Manufacturer
c. Municipal Waters
d. Motor Vehicle
e. Businessman
308.It includes the owner, manager, administrator, or any other person who operates or is responsible for the
Page 43 of 45
operation of a business establishment or undertaking.
a. Residents
b. Peddler
c. Persons
d. Operator
e. Civilian
309.It means any person who, either for himself or on commission, travels from place to place and sells his goods or
offers to sell and deliver the same.
a. Residents
b. Peddler
c. Persons
d. Operator
e. Civilian
310.They refer to every natural or juridical being, susceptible of rights and obligations or of being the subject of legal
relations.
a. Residents
b. Peddler
c. Persons
d. Operator
e. Civilian
311.It refer to natural persons who have their habitual residence in the province, city, or municipality where they
exercise their civil rights and fulfill their civil obligations, and to juridical persons for which the law or any other
provisions creating or recognizing them fixes their residence in a particular province, city or municipality.
a. Residents
b. Peddler
c. Persons
d. Operator
e. Civilian
312.It means a sale where the purchaser buys the commodity for his own consumption irrespective of the quantity of
the commodity sold.
a. Wharfage
b. Wholesale
c. Retail
d. Vessel
e. Operator
313.It includes every type of boat, craft, or other artificial contrivance used, or capable of being used, as means of
transportation on water.
a. Wharfage
b. Wholesale
c. Retail
d. Vessel
e. Operator
314.It means a fee assessed against the cargo of a vessel engaged in foreign or domestic trade based on quantity,
weight, or measure received and/or discharged by vessel.
a. Wharfage
b. Wholesale
c. Retail
d. Vessel
e. Operator
315.It means a sale where the purchaser buys or imports the commodities for resale to persons other than the end
user regardless of the quantity of the transaction.
a. Wharfage
b. Wholesale
c. Retail
d. Vessel
Page 44 of 45
e. Operator
Page 45 of 45

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#1 BCLTE - LTOM Book 1 Chapter 1

Chapter 1. Fiscal Organization of Local Governments

#2 BCLTE - LTOM Book 1 Chapter 2

#3 BCLTE - LTOM Book 1 Chapters 3-6

Chapter 4. The Roles and Responsibilities of Local Treasurers

Chapter 5. Other Roles of the Local Treasurer

50. The procedure for bonding are as follows except:

#4 BCLTE - LTOM Book 2 Chapter 1A

#5 BCLTE - LTOM Book 2 Chapter 1B

#6 BCLTE - LTOM Book 2 Chapters 2-3

Chapter 2. Collection of Revenues and Other Receipts

#7 BCLTE - LTOM Book 3 Chapters 1-2

Chapter 1. Concept of Funds

106.The following are the general classification of funds except:

Chapter 2. Concept of Appropriation, Allotment, Obligation and Expenditure

#8 BCLTE - LTOM Book 3 Chapter 2

Chapter 2. Concept of Appropriation, Allotment, Obligation and Expenditure

#9 BCLTE - LTOM Book 3 Chapter 3

#10 BCLTE - LTOM Book 3 Chapters 3-5

Chapter 4. Barangay Appropriations, Commitments and Disbursements

Chapter 5. Sangguniang Kabataan Budget

#11 BCLTE - LTOM Book 4 Chapter 1

#12 BCLTE - LTOM Book 4 Chapter 2

#13 BCLTE - LTOM Book 4 Chapter 2B

#14 BCLTE - LTOM Book 4 Chapters 2-3

#15 BCLTE - LTOM Book 5 Chapter 1A

#16 BCLTE - LTOM Book 5 Chapter 1B

Chapter 1. Real Property Taxes

#17 BCLTE - LTOM Book 5 Chapter 1C

Chapter 1. Real Property Taxes

#18 BCLTE - LTOM Book 5 Chapters 1-2

Chapter 1. Real Property Taxes

Chapter 2. Business and Other Local Taxes

#19 BCLTE - LTOM Book 5 Chapter 2

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