9. Understanding the Budget

Question 1

__ is a year round process and is almost exclusively a function of senior staff. p116

Answer 1

Budgeting

Question 2

Determining what income will be received, balancing this with planned expenditures, and preparing detailed plans and forecast. p116

Answer 2

Budgeting

Question 3

Regularly comparing actual income and expenditures to the planned budget, creating financial reports, and taking corrective action when needed.

Answer 3

Monitoring

Question 4

Reviewing prepared financial statements, both internally and by and outside person or group, to verify the numbers and report to the board. p116

Answer 4

Auditing

Question 5

There are large ticket items, replacement items and other investments that are usually planned for years in advance of purchase.

Answer 5

Capital improvement budget

Question 6

This is the budget that allows us to run day to day and year to year basis. p117

Answer 6

Operating budget

Question 7

When it comes to operating accounts, in most cases, less than 1% of the total money is considered __ funding. p119

Answer 7

discretionary funding

Question 8

When you develop programs that have outputs, you need to be able to develop and defend the ___ ___ associated with the program. p117

Answer 8

Performance Criteria

Question 9

In general, apparatus in a busy municipal dept have a __ year street life and a __ year reserve life. p120

Answer 9

10 and 5 years

Question 10

The average expected life span of a fire station is __ years, and there will be both maintenance and new construction capital projects. p120

Answer 10

40 years

Question 11

The concept of __ __ is in essence the percentage of time an operational company is actually in their first due area. p`123

Answer 11

response reliability
90%
within 5 mins

Question 12

Most budget cuts affect what I call the __. p 125

Answer 12

Foundation