CDFM Financial Systems and Technology 2 — Questions and Answers
Question 1: In DoD financial management, what does the acronym IFMS stand for?
- Integrated Financial Management System (Correct answer)
- Internal Fund Management Standard
- Interagency Financial Monitoring System
- Integrated Federal Management Solution
Correct answer: Integrated Financial Management System
IFMS stands for Integrated Financial Management System, a term used to describe integrated ERP solutions that combine finance, logistics, and HR data in DoD.
Question 2: What is the role of the Treasury's Government-Wide Accounting (GWA) system in DoD financial operations?
- It processes military payroll
- It serves as the central reporting hub for federal agency account balances with Treasury (Correct answer)
- It tracks DoD contract awards
- It manages travel authorizations
Correct answer: It serves as the central reporting hub for federal agency account balances with Treasury
Treasury's GWA system serves as the central hub where federal agencies, including DoD, report their account balances and transactions to maintain accurate government-wide financial records.
Question 3: Which DoD system is used for electronic invoicing and payment processing to support the DoD's financial improvement goals?
- WAWF (Wide Area Workflow) (Correct answer)
- GFEBS
- DAI
- SABRS
Correct answer: WAWF (Wide Area Workflow)
Wide Area Workflow (WAWF) is the DoD's electronic invoicing, receipt, and acceptance system that facilitates faster, paperless payment processing to contractors.
Question 4: What does the term 'feeder system' mean in the context of DoD financial management?
- A system that provides meals to military personnel
- A subsidiary system that sends transactions into a core accounting system (Correct answer)
- A system that monitors budget feeds from Congress
- A tool for distributing financial reports
Correct answer: A subsidiary system that sends transactions into a core accounting system
A feeder system is a subsidiary or functional system (e.g., logistics, HR) that generates financial transactions which are then fed into the core general ledger accounting system.
Question 5: Under the Financial Management Modernization Program, what is the key goal for DoD financial systems?
- Reduce the number of financial personnel
- Achieve audit readiness and eliminate legacy stovepipe systems through ERP adoption (Correct answer)
- Outsource all financial functions to private contractors
- Centralize all DoD payments through a single Treasury account
Correct answer: Achieve audit readiness and eliminate legacy stovepipe systems through ERP adoption
The DoD Financial Management Modernization Program aims to achieve audit readiness and eliminate legacy stovepipe systems by adopting integrated ERP solutions that produce reliable financial data.
Question 6: What is the primary function of the Prompt Payment Act as it applies to DoD financial systems?
- It requires DoD to pay employees before contractors
- It mandates timely payment of vendor invoices and establishes interest penalty provisions for late payments (Correct answer)
- It requires immediate obligation of all appropriated funds
- It sets deadlines for submitting congressional budget justifications
Correct answer: It mandates timely payment of vendor invoices and establishes interest penalty provisions for late payments
The Prompt Payment Act requires federal agencies, including DoD, to pay vendor invoices on time and imposes mandatory interest penalties when payments are made after the due date.
CDFM Financial Systems and Technology 2
In DoD financial management, what does the acronym IFMS stand for?