PA 581 Final Exam Answers Based on Study Guide

This file of PA 581 Final Exam Answers Based on Study Guide contains answers on:

Question 1 concentrates on the authority for federal, state and local powers for budgeting and fiscal affairs, the federal budget cycle, generic budget cycle, and budget formats. Know the essential information for each of these topics [TCO A, B]Question 2 concentrates on capital projects, the differences between a capital project budget and an operating budget, the difference between capital outlay and a capital project, the steps in the capital budgeting process. TCO H]Question 3 concentrates on Pareto Improvement. Be sure to know its importance, making the calculations, doing the analysis, and drawing conclusions and recommendations.[TCO G]Question 4 concentrates on property taxes, their particular importance to local government, assessed values, assessment ratios, mil rates, circuit breakers, and tax deferrals. Know the process for assessing property, and calculating and levying property taxes. Also, have a good understanding of the upsides and downsides (complaints) relevant to property taxes. [TCO D]Question 5 concentrates on the steps and stages of the budget execution process, budget authority and the five different types of budget authority, and Congress make responsibilities and actions regarding the federal budget process.[TCO A]Question 6 concentrates on quarterly appropriation allotments and monitoring and controlling the budget. Be prepared to read and analyze the budgetary status of an agency with quarterly allotments, expenditures, encumbrances, and unencumbered balances. This process will include doing calculations, analyzing the figures, and making recommendations.[TCO C]Question 7 concentrates on government debt, deficits, and phases of budget cycles. Know reasons why governments incur debt. Ensure that you have an understanding of municipal bonds, corporate bonds, net interest cost, true interest cost and its relationship to capital project financing. Finally, be prepared to talk about the five principles of good debt management.[TCO F]Question 8 concentrates on the importance of budget cycles and their four phases, governmental accounting principles, practices, and funds, and, federal laws for controlling and preventing deficits.[TCO A]Question 9 concentrates on the purpose of a tax system and the standards used to evaluate that system. [TCO D]Question 10 concentrates on calculating sales tax rates for two individuals, determining whether they are regressive, and deciding which of two major products should be taxed in order to be equitable.[TCO I]