Question 1

The mission of the _________is to establish and improve standards of state and local governmental accounting and financial reporting that will result in useful information for users of financial reports, and guide and educate the public, including issuers, auditors, and users of those financial reports. ___________establishes new requirements for the annual financial reporting for state and local government.

Accepted Answer

The Governmental Accounting Standards Board (GASB) is responsible for establishing and improving standards of state and local governmental accounting and financial reporting. GASB's Statement No. 34 establishes new requirements for the annual financial reporting for state and local governments.

Question 2

Managers must measure and track performance because citizens and legislative bodies are increasingly demanding evidence of the appropriate use of public resources and the achievement of public goals. Auditors must understand performance measurement because their audit objectives may call for independent measurement of organizational performance.

Accepted Answer

Managers need to measure performance to show accountability in resource use, while auditors need to understand these measurements to independently verify organizational performance.

Question 3

Methods of analyzing data in summative evaluations include all of the following EXCEPT:

Accepted Answer

The answer of Methods of analyzing data in summative evaluations...

Question 4

Security administration is responsible for security over the computer facility, including all aspects of physical and data security. Following is a list of Control techniques for security administration please chooses the correct option:

Accepted Answer

Security administration should be independent of computer operations to avoid conflicts of interest, and users and employees should be counseled on security considerations to ensure they understand and adhere to security policies.

Question 5

_________attempts to use strategic planning to set the mission, goals, and objectives of programs; measure programs' outcomes; and set benchmarks to be met by programs.

Accepted Answer

Performance-based budgeting involves using strategic planning to set the mission, goals, and objectives of programs, measure their outcomes, and establish benchmarks for them.

Question 6

Governments must have a means to finance public services, with the primary means being taxation. All of the following are the primary methods of revenue generation in public administration EXCEPT:

Accepted Answer

Employee charges are not a recognized method of revenue generation in public administration.

Question 7

The introductory section contains information that is not necessarily related to the financial statement. The introductory section is outside of the audit scope; however, it must be reviewed by the independent auditors to ensure that it does not contain misleading information or contradict the financial information. Components of the introductory section include all of the following EXCEPT:

Accepted Answer

The offer letter is not typically a component of the introductory section of a financial statement.

Question 8

_______considers the processes associated with the program or factors in the program environment to determine which components adversely affect effectiveness or do not add value to the program's goals.

Accepted Answer

Formative program evaluation focuses on examining the processes and components of a program to identify areas that may hinder effectiveness or fail to contribute to the program's goals, allowing for improvements and adjustments.

Question 9

The application of appropriate standards depends on all of the following EXCEPT:

Accepted Answer

The application of appropriate standards typically depends on the objective of the engagement, availability of information, and other mandates or local requirements, but not necessarily on a legally binding agreement.

Question 10

If the audit organization has done what is given below then in general, reviewers can conclude there is reasonable assurance that an internal quality control system is effective. Please mark the correct option:

Accepted Answer

Following applicable auditing standards indicates that the audit organization adheres to established guidelines, which is a key component of an effective internal quality control system.

Question 11

Governmental auditing is distinctive and encompasses different requirements from auditing commercial or not-for-profit enterprises. The standards that apply specifically to government audits are all of the following EXCEPT:

Accepted Answer

The International Auditing and Assurance Standards Board (IAASB) does not issue standards specifically for government audits.

Question 12

All of the Following are the major categories of performance measures EXCEPT:

Accepted Answer

Control measures are not typically categorized as a major type of performance measure, which generally include input, process, and output measures.

Question 13

Criteria to use for selection of performance measures and data collection procedures include all of the following EXCEPT:

Accepted Answer

Planning, Controlling, and Organizing are management functions, not criteria for selecting performance measures and data collection procedures.

Question 14

Although not a generally accepted practice by most audit organizations, some may not comply with audit standards and call the final product reviews or studies. The entire following are some specific examples where standards may not be used EXCEPT:

Accepted Answer

The answer of Although not a generally accepted practice by...

Question 15

_____________involves interviews, observations, and inspections appropriate to the audit objectives. Auditors often design tests of specific management controls based on information gained in previous audits:

Accepted Answer

Testing management controls involves interviews, observations, and inspections to evaluate the effectiveness of management controls, often using information from previous audits to design specific tests.

Question 16

Which of the following are the two broad classifications of management styles please mark the correct option:

Accepted Answer

Autocratic management and participative management are two broad classifications of management styles, representing a spectrum from centralized decision-making to collaborative decision-making.

Question 17

______is the middle position in an array of values. The median value can be misleading in small data sets, so it is usually used to characterize a large number of values. Where as the ______ is the most commonly occurring value in an array. The mode is a less frequently used measure of average because a mode may not exist in some sets of data, or there may be more than one mode in the data set.

Accepted Answer

The median is the middle value in an ordered data set, and the mode is the most frequently occurring value.

Question 18

Typical methodologies used to conduct summative evaluations include all of the following EXCEPT:

Accepted Answer

The answer of Typical methodologies used to conduct summative evaluations...

Question 19

Authorization - a statute or legislation that establishes or continues a national program or agency. Where as advance appropriation - budget authority provided in an appropriation act that is first available in a fiscal year beyond the fiscal year for which the appropriation is enacted.

Accepted Answer

Authorization refers to the statute or legislation that establishes or continues a national program or agency, while advance appropriation is budget authority provided in an appropriation act that is first available in a fiscal year beyond the fiscal year for which the appropriation is enacted.

Question 20

The Canadian Comprehensive Auditing Foundation (CCAF) lists the following 12 attributes that management should be reporting on regarding the effectiveness of their organizations please choose the correct option:

Accepted Answer

The answer of The Canadian Comprehensive Auditing Foundation (CCAF) lists...

Exam 2: Certified Government Auditing Professional