Question 1

Fiscal discipline only applies to maintaining short-term control of the totals in the budget.

Accepted Answer

Fiscal discipline applies to both long-term and short-term control of the totals.

Question 2

When does the budgetary cycle conclude?
A)It concludes when the Finance Minister presents the budget in the House of Commons.
B)It concludes when the House Standing Committee on Finance presents the budget.
C)It concludes when the Privy Council Office releases the budget consultation process.
D)It ends when the Cabinet reviews the budget strategy.

Accepted Answer

The budgetary cycle concludes when the Finance Minister presents the budget in the House of Commons. This is the final step in the process of developing and approving the federal budget.

Question 3

Which of the following is best described as a style of budgeting that emphasizes the object of the expenditure rather than the purpose of the expenditure?
A)line-item budgeting
B)performance budgeting
C)program budgeting
D)incremental budgeting

Accepted Answer

Line-item budgeting is a style of budgeting that emphasizes the object of the expenditure, which is typically organized by categories or line items. It focuses on how the money is going to be spent rather than why it's being spent. Performance budgeting, program budgeting, and incremental budgeting all emphasize the purpose of the expenditure over the object of the expenditure.

Question 4

What usually takes place in the summer months of the Expenditure Management System's cyclical process?
A)The cabinet examines the budgetary strategy and final decisions are made based on the contents of the budget.
B)Committees meet to consider plans and priorities that are used to shape the allocation of revenues in the forthcoming budget.
C)The minister of finance releases the consultation papers and begins meeting with parliamentary committees, provinces, and various other groups.
D)The Department of Finance meets with other departments to bring together the planning done in the first stage in order to come up with proposals that can be employed in the forthcoming public consultation process.

Accepted Answer

The answer of What usually takes place in the summer...

Question 5

What is the date range for the fiscal year for both federal and provincial governments?
A)September 1 to September 1
B)January 1 to December 31
C)April 1 to March 31
D)April 1 to December 31

Accepted Answer

The fiscal year for both federal and provincial governments in Canada runs from April 1 to March 31.

Question 6

What type of budgeting involves "shift points"?
A)incremental budgeting
B)performance budgeting
C)program budgeting
D)line-item budgeting

Accepted Answer

The answer of What type of budgeting involves "shift points"?
A)incremental...

Question 7

Which of the following makes up the bulk of governmental expenditures?
A)operating expenses
B)transfer payments
C)capital amortization
D)gas tax fund

Accepted Answer

The answer of Which of the following makes up the...

Question 8

Who has the task or role of the "Priority Setter" in the budgeting game?
A)The Prime Minister's Office and the Privy Council Office
B)The Prime Minister's Office only
C)The Privy Council's Office only
D)The Treasury Board Secretariat

Accepted Answer

The Priority Setter in the budgeting game is responsible for setting the overall priorities for government spending. In Canada, this role is shared between the Prime Minister's Office and the Privy Council Office, who work together to establish the government's policy and program priorities. The Treasury Board Secretariat plays a key role in supporting the priority-setting process and ensuring that government departments and agencies have the resources they need to deliver on their mandates.

Question 9

Which of the following is an example of major transfers to persons?
A)Canada Health Transfer
B)Canada Social Transfer
C)Employment Insurance Benefits
D)Equalization Payments

Accepted Answer

Employment Insurance Benefits are direct transfers of income to individuals who have lost their jobs, which makes it an example of major transfers to persons. The Canada Health Transfer and Canada Social Transfer are transfers to provincial and territorial governments to support health care and social programs, respectively. Equalization Payments are transfers to provinces with lower fiscal capacity to help them provide comparable levels of public services as other provinces.

Question 10

Omnibus bills covering the budget are lengthier than normal budget bills.

Accepted Answer

Omnibus bills not only cover the budget but also contain provisions on a variety of policy areas, making them longer and more comprehensive than normal budget bills.

Question 11

The omnibus type of bills were quite prevalent under Stephen Harper's government.

Accepted Answer

The omnibus type of bills were indeed quite prevalent under Stephen Harper's government, which often included multiple unrelated measures in a single piece of legislation. This approach was criticized by opposition parties and some stakeholders for limiting debate and scrutiny on important issues.

Question 12

The "totals" in the budget only includes revenues and expenditures.

Accepted Answer

Totals also include deficit and debts.

Question 13

In 2006, the government of Prime Minister Harper reduced the Goods and Services Tax, which was at 7%.What level did they ultimately reduce the taxes to?
A)3%!
B)4%!
C)5%!
D)6%!

Accepted Answer

The government of Prime Minister Harper reduced the Goods and Services Tax from 7% to 5%. Therefore, the best choice is option C, which indicates a reduction to 5%.

Question 14

Who tables the Estimates?
A)Department of Finance
B)Privy Council Office
C)Prime Minister's Office
D)Treasury Board Secretariat

Accepted Answer

The Treasury Board Secretariat is responsible for tabling the Estimates, which outlines the government's spending plans for the upcoming fiscal year.

Question 15

Which of the following includes a management improvement focus that also provides decision makers with cost-minimization techniques?
A)line-item budgeting
B)performance budgeting
C)program budgeting
D)incremental budgeting

Accepted Answer

The answer of Which of the following includes a management...

Question 16

Which of the following was the first style of budgeting employed in modern public administration and was used in Canada right up to the 1960s?
A)incremental budgeting
B)performance budgeting
C)program budgeting
D)line-item budgeting

Accepted Answer

The first style of budgeting employed in modern public administration was line-item budgeting, which was used in Canada right up to the 1960s. In line-item budgeting, each department is allocated a fixed amount of money for the year, and this money is divided into categories or line items. The department has the discretion to spend the money as it wishes, as long as it stays within the limits set by the line items.

Question 17

The federal and provincial finance ministers prepare their revenue budgets at least once a year.

Accepted Answer

The federal and provincial finance ministers prepare their revenue budgets at least once a year. This is a regular practice to ensure that government spending is in line with the revenue generated through taxes and other sources. The budget estimates outline the expected revenues and expenditures for the upcoming fiscal year and serve as a basis for financial planning and decision-making.

Question 18

Who makes the final decisions on the contents of the budget?
A)Minister of Finance
B)Treasury Board Secretariat
C)Cabinet Committees
D)Prime Minister and Minister of Finance

Accepted Answer

The final decisions on the contents of the budget are made by the Prime Minister and the Minister of Finance. While the Treasury Board Secretariat and Cabinet Committees play important roles in the budget process, it is ultimately up to the Prime Minister and Finance Minister to make the final decisions on what will be included in the budget.

Question 19

Which of the following best describes performance budgeting?
A)It only measures the inputs used.
B)It only measures the outputs attained.
C)It establishes a relationship between inputs employed and outputs attained.
D)It is characterized by small annual adjustments in spending, accompanied by occasional large increases or decreases in expenditure.

Accepted Answer

Performance budgeting involves establishing a relationship between the inputs employed (resources, expenditures) and the outputs attained (services delivered, outcomes achieved). It aims to link resource allocation to program performance and results. Therefore, option A and B are incorrect. Option D does not describe performance budgeting accurately.

Question 20

Whose budget speech includes the revenue budget?
A)prime minister
B)finance minister
C)auditor-general
D)governor-general

Accepted Answer

The revenue budget is a part of the annual financial statement prepared by the finance minister, who is responsible for presenting the budget speech in parliament. Therefore, the correct answer is B) finance minister.

Quiz 17: The Budgetary Process

Fiscal discipline only applies to maintaining short-term control of the totals in the budget.

When does the budgetary cycle conclude?

Which of the following is best described as a style of budgeting that emphasizes the object of the expenditure rather than the purpose of the expenditure?

What usually takes place in the summer months of the Expenditure Management System's cyclical process?

What is the date range for the fiscal year for both federal and provincial governments?

What type of budgeting involves "shift points"?

Which of the following makes up the bulk of governmental expenditures?

Who has the task or role of the "Priority Setter" in the budgeting game?

Which of the following is an example of major transfers to persons?

Omnibus bills covering the budget are lengthier than normal budget bills.

The omnibus type of bills were quite prevalent under Stephen Harper's government.

The "totals" in the budget only includes revenues and expenditures.

In 2006, the government of Prime Minister Harper reduced the Goods and Services Tax, which was at 7%.What level did they ultimately reduce the taxes to?

Who tables the Estimates?

Which of the following includes a management improvement focus that also provides decision makers with cost-minimization techniques?

Which of the following was the first style of budgeting employed in modern public administration and was used in Canada right up to the 1960s?

The federal and provincial finance ministers prepare their revenue budgets at least once a year.

Who makes the final decisions on the contents of the budget?

Which of the following best describes performance budgeting?

Whose budget speech includes the revenue budget?