Submissions

Here are your latest answers:

Question 1
 Entity A, a government entity, receives its Notice of Cash Allocation amounting to ₱5,000,000
for the year. The journal entry to record this event is

Question 2
 Under this approach to budgeting, several parties participate in the budget preparation, starting
from the lowest levels of the government up to the highest levels.

Question 3
 16. The basis of accounting required by the GAM for NGAs is

Question 4
 Entity A, a government entity, had the following transactions during the period:
• Received Notice of Cash Allocation (NCA) amounting to ₱430,000.
• Earned total revenue of ₱40,000 from billings and collections of unbilled income.
• Incurred total expenses of ₱240,000.
• Remitted total taxes withheld of ₱37,000 to the BIR through Tax Remittance Advice (TRA).
• The “Cash-Modified Disbursement System (MDS), Regular” has an unused balance of
₱52,000 at the end of the period.

How much is the surplus (deficit) for the period?

Question 5
 Entity A, a government entity, receives notice of its ₱10M appropriation for the year. The
journal entry to record this event is

Question 6
 Entity A, a government entity, has an unused NCA of ₱50,000 at the end of the current year.
The entry to record the reversion of unused NCA is

Question 7
 The “Cash – Treasury/Agency Deposit, Regular” account is used in which of the following
transactions?

Question 8
 Which of the following statements is incorrect regarding the GAM for NGAs?

Question 9
 The journal entry to record the collection of unbilled tax revenue (e.g., Travel Tax) through
direct deposit in Authorized Agent Banks is
Question 10
 No journal entry is made for the receipt of this type of disbursement authority.

Question 11
 This refers to charges for the use of cash or cash equivalents, or amounts due to the entity.

Question 12
 The entry to record the granting of cash advance for payroll fund is

Question 13
 According to P.D. 1445, government entities shall acknowledge receipts of revenue

Question 14
 Entity A, a government entity, grants a ₱10,000 cash advance for the travelling expenses of an
employee. The employee liquidates ₱8,000 of the cash advance and remits the excess cash
advance of ₱2,000. After recording the grant of cash advance and the liquidation thereof but
before adjustment for the collection of the excess cash advance, how much is the recorded
expense in the books of accounts?

Question 15
 Which of the following events or transactions requires recording in the books of accounts of a
government entity?

Question 16
 The GAM for NGAs aims to update all of the following except

Question 17
 All of the above involves the physical transfer of cash except

Question 18
 No journal entry is made for a disbursement under this mode of disbursement.

Question 19
 4 The budget preparation in the Philippines

Question 20
 A government entity records a transaction by debiting an account with a Revised Chart of
Account (RCA) Code that starts with “1” and crediting an account with an RCA Code that starts
with “4.” This transaction is most likely a

Question 21
 Entity A, a government entity, bills another government entity ₱200,000 for Communications
Network Fees. Which of the following is the correct entry for the billing?

Question 22
 Under this type of disbursement authority, disbursements are made out of the entity’s own bank
account rather than through the Treasury Single Account

Question 23
 Entity A, a government entity, has withheld a total of ₱800,000 from the salary payments to its
employees representing contributions to the GSIS, Pag-IBIG and PhilHealth. The pro-forma
entry to record the remittance of the contributions to the GSIS, Pag-IBIG or PhilHealth is

Question 24
 Which of the following principles is not in accordance with the Basic Government Accounting
and Budget Reporting Principles under the GAM for NGAs?

Question 25
 The President’s explanation of the country’s fiscal policy and budget priorities is contained

Question 26
 The NGAs are responsible for

Question 27
 The entry to record the receipt of a disbursement authority in the form of cash Disbursement
ceiling(CDC) is

Question 28
 Which of the following is not one of the Fundamental Principles for Disbursement of Public
Funds under the GAM for NGAs?

Question 29
 32. It refers to a fund which is available for any purpose other than those which other funds have
been designated to

Question 30
 During the period, Entity A, a government entity, withheld ₱100,000 taxes from its payments to
employees and suppliers. On September 14 of the current year, Entity A remitted the taxes
withheld to the BIR through Tax Remittance Advice. The entry to record the remittance includes

Question 31
 After the incurrence of obligations, the next step in the budget cycle is

Question 32
 Which of the following statements is correct regarding the Fundamental Principles for
Disbursement of Public Funds under P.D. No. 1445?

Question 33
 A government entity will report surplus in its statement of financial performance in which of the
following instances?
Question 34
 The receipt of a disbursement authority in the form of Non-Cash Availment Authority (NCAA)
is debited to which of the following accounts?

Question 35
 A government entity recognizes revenue from exchange or non-exchange transactions. In which
of the following transactions does a government entity need not recognize revenue?

Question 36
 This accounting concept is necessary so that users can use information in the financial
statements in noting differences and similarities between those information presented and
information from other sources that the user may have.

Question 37
 20. After the budget call, budget hearings are made whereby agencies defend their proposed
programs and expenditures for the upcoming year before the

Question 38
 This report, required of government entities, shows the names of creditors, the amounts owed to
them, and the number of days these obligations are outstanding. This report is submitted to the
COA and DBM within 30 days after the end of the year.

Question 39
 It is the expenditure authority derived from appropriation laws, government ordinances, and
other decisions related to the anticipated revenue or receipts for the budgetary period.

Question 40
 Which of the following is one of the Fundamental Principles for Revenue under the GAM for
NGAs?

Question 41
 38. Which of the following modes of disbursements would result to the recognition of a loan
payable in books of the BTr?

Question 42
 22. No journal entry is made for a disbursement under this mode of disbursement.

Question 43
 25. Which of the following transactions is not recorded through a credit to the “Cash-Modified
Disbursement System (MDS), Regular” account?

Question 44
 21. Under responsibility accounting, a cost is considered controllable at a given level of
managerial responsibility if
Question 45
 40. This account is debited when government entities remit collections to the National Treasury

Question 46
 These refer to transactions in which one entity receives assets or services, or has liabilities
extinguished, and directly gives approximately equal value to another entity in exchange

Question 47
 The entry to close the “Cash-Treasury/Agency Deposit, Regular” account at the end of the
period is

Question 48
 Which of the following statements best differentiates the government accounting process from
the accounting process of a business entity?

Question 49
 A government entity remitting collections to the BTr will debit this account to record the
remittance.

Question 50
 Which of the following government agencies will most likely be able to obtain a disbursement
authority in the form of Cash Disbursement Ceiling (CDC)?