CBS Regulatory Compliance & Ethics 2

Question 1

Under the Anti-Deficiency Act, what happens when a federal agency obligates funds in excess of its appropriation?

Accepted Answer

The responsible officer may face criminal penalties and dismissal

Answer

The Anti-Deficiency Act imposes administrative and criminal sanctions, including fines, suspension, or dismissal, on officers who obligate or expend funds exceeding appropriated amounts.

Question 2

Which ethical principle requires a budget specialist to disclose financial interests that could influence professional judgments?

Accepted Answer

Conflict of interest disclosure

Answer

Conflict of interest disclosure requires professionals to reveal personal financial interests that could impair their impartiality in budget decisions.

Question 3

A Continuing Resolution (CR) typically limits agency spending to what baseline?

Accepted Answer

The prior year's enacted appropriation rate

Answer

A Continuing Resolution generally allows agencies to operate at the same rate as the prior fiscal year's enacted appropriation until a new appropriation is passed.

Question 4

Which law prohibits federal agencies from accepting voluntary services unless specifically authorized by statute?

Accepted Answer

The Anti-Deficiency Act

Answer

The Anti-Deficiency Act prohibits agencies from accepting voluntary services, as they create obligations not backed by appropriations.

Question 5

What does the concept of 'bona fide need' determine in federal budget compliance?

Accepted Answer

Whether an expenditure legitimately falls within the current appropriation period

Answer

The bona fide need rule requires that obligations be incurred only for genuine needs of the current appropriation period, preventing agencies from using current-year funds for future-year needs.

(CBS) Certified Budget Specialist Practice Test

(CBS) Certified Budget Specialist Practice Test

CBS Regulatory Compliance & Ethics 2