Book 4 Flashcards
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
Good Governance
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.
a. Cash Programming Tools
b. Cash Flow from Operating Activities
c. Cash Flow Forecast
d. Good Governance
e. Cash Management and Programming
e. Cash Management and Programming
It aids the Local Treasurer in cash management and programming such as Cash Flow Forecast and the Cash Flow Analysis.
a. Cash Programming Tools
b. Cash Flow from Operating Activities
c. Cash Flow Forecast
d. Good Governance
e. Cash Management and Programming
Cash Programming Tools
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.
a. Cash Programming Tools
b. Cash Flow from Operating Activities
c. Cash Flow Forecast
d. Good Governance
e. Cash Management and Programming
Cash Flow Forecast
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.
a. Cash Programming Tools
b. Cash Flow from Operating Activities
c. Cash Flow Forecast
d. Good Governance
e. Cash Management and Programming
Cash Flow from Operating Activities
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
c. Cash Flow from Financing Activities
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.
a. Cash Flow from Investing Activities
b. Cash Disbursement Forecast
c. Cash Flow from Financing Activities
d. Cash Flow Analysis
e. Cash Receipts Forecast
a. Cash Flow from Investing Activities
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.
a. Cash Flow from Investing Activities
b. Cash Disbursement Forecast
c. Cash Flow from Financing Activities
d. Cash Flow Analysis
e. Cash Receipts Forecast
e. Cash Receipts Forecast
It is a schedule of all expenditures to be prepared by the local treasury personnel in charge of
expenditures and disbursements.
a. Cash Flow from Investing Activities
b. Cash Disbursement Forecast
c. Cash Flow from Financing Activities
d. Cash Flow Analysis
e. Cash Receipts Forecast
b. Cash Disbursement Forecast
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.
a. Cash Flow from Investing Activities
b. Cash Disbursement Forecast
c. Cash Flow from Financing Activities
d. Cash Flow Analysis
e. Cash Receipts Forecast
d. Cash Flow Analysis
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
a. Present Value Index
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.
a. Present Value Index
b. Time value of money
c. Net Present Value
d. Discounted Rate of Return
e. Annual Cash Inflow
e. Annual Cash Inflow
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.
a. Present Value Index
b. Time value of money
c. Net Present Value
d. Discounted Rate of Return
e. Annual Cash Inflow
b. Time value of money
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.
a. Present Value Index
b. Time value of money
c. Net Present Value
d. Discounted Rate of Return
e. Annual Cash Inflow
d. Discounted Rate of Return
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.
a. Present Value Index
b. Time value of money
c. Net Present Value
d. Discounted Rate of Return
e. Annual Cash Inflow
c. Net Present Value
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
e. None of the above
b. Economic life
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
e. None of the above
d. Payback Period
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
e. None of the above
c. 5 years
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
a. Effectiveness of the Local Chief Executive
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
b. Nature of the project and uses of funds
c. Cost-benefit analysis of the project
d. Expenditure plan and sources of debt financing
e. None of the above
a. Approval from the Local Chief Executive
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
c. Accountability
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
e. Responsibility
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
e. None of the above
b. Accountable Officer
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.
a. Persons Responsible
b. Accountable Officer
c. Local Treasurer
d. Persons Liable
e. None of the above
d. Persons Liable
The persons determined by the auditor to be answerable for compliance with the audit requirements
as called for in the notice of suspension.
a. Persons Responsible
b. Accountable Officer
c. Local Treasurer
d. Persons Liable
e. None of the above
a. Persons Responsible
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
e. Suspension
c. Certificate of Settlement and Balances