CCM Corrections Budgeting & Administration 2

Question 1

Which budget format requires agencies to justify every expenditure from zero each cycle rather than using prior-year figures as a baseline?

Accepted Answer

Zero-based budgeting

Answer

Zero-based budgeting (ZBB) requires managers to justify all expenditures from scratch each budget cycle, eliminating automatic baseline increases.

Question 2

A corrections facility discovers mid-year that inmate population exceeded projections by 15%. The most immediate budget impact is likely on which line item?

Accepted Answer

Food and medical services

Answer

Food and medical services are directly population-driven variable costs that increase proportionally with unexpected inmate population growth.

Question 3

What is the primary purpose of an encumbrance in corrections financial management?

Accepted Answer

To reserve funds for anticipated future expenditures

Answer

An encumbrance reserves budget authority for a known future obligation, such as a purchase order, preventing those funds from being spent elsewhere.

Question 4

Under generally accepted government auditing standards (GAGAS), which type of audit evaluates whether programs are achieving their intended outcomes efficiently?

Accepted Answer

Performance audit

Answer

A performance audit (also called a program audit) assesses economy, efficiency, and effectiveness of government programs and operations.

Question 5

A corrections department wishes to purchase a new records management system through a cooperative purchasing agreement. What is the primary advantage of this approach?

Accepted Answer

It leverages combined purchasing power to obtain lower prices

Answer

Cooperative purchasing agreements aggregate demand across multiple agencies, giving vendors an incentive to offer discounted pricing.

(CCM) Certified Corrections Manager Practice Test

(CCM) Certified Corrections Manager Practice Test

CCM Corrections Budgeting & Administration 2