CGFM Cheat Sheet 2026

The 30 highest-yield CGFM facts, distilled from real exam questions. Print it, save it as a PDF, or study it here — free, no sign-up.

1. Interfund transfers of assets (such as money or goods) without repayment and _____________ are examples of non-reciprocal interfund transactions. → Interfund reimbursement
2. The Single Audit Act requires audits of federal award recipients that expend at least how much in federal awards in a fiscal year? → $750,000
3. The following should be in a government agency's mission statement: → major functions and goals.
4. Under GASB standards, which of the following would be reported as a special item in a government's financial statements? → A significant transaction that is within management's control and unusual or infrequent
5. What is 'mandatory spending' in the federal budget? → Spending required by existing law for programs like Social Security and Medicare
6. Which federal law requires agencies to annually assess and report on the effectiveness of internal controls over financial reporting? → Federal Managers' Financial Integrity Act (FMFIA)
7. Which financial ratio measures a government's ability to meet short-term obligations using liquid assets? → Current ratio
8. Federal and state governments can have an impact on local governments in a number of ways, including: → providing block grants.
9. Which law established the modern congressional budget process, including the Budget Committees and the Congressional Budget Office (CBO)? → Congressional Budget and Impoundment Control Act of 1974
10. What is a 'Prompt Payment Act' penalty designed to address? → Late payments by the federal government to vendors
11. An agency that spends more than its appropriation has most likely violated which law? → Antideficiency Act
12. What is the start of the federal government's fiscal year? → October 1
13. Which federal law established the Chief Financial Officers (CFO) Act of 1990? → Public Law 101-576
14. Under GASB 54, 'Committed' fund balance is established by: → Formal action of the government's highest level of decision-making authority
15. One approach to measuring state agency accountability is as follows: → program evaluation.
16. What is 'float' in the context of government cash management? → The amount of money in transit between payer and payee
17. Which financial statement is unique to state and local governments and presents the fiscal accountability of governmental activities? → Statement of Revenues, Expenditures, and Changes in Fund Balances
18. The concept of 'interperiod equity' in governmental accounting refers to what? → Whether current-year revenues are sufficient to pay for current-year services
19. Which GASB statement addresses pension reporting for state and local government employers? → GASB 68
20. Under GASB 68, a government employer that participates in a cost-sharing multiple-employer pension plan must report: → Its proportionate share of the collective net pension liability
21. What does the term 'unobligated balance' mean in federal appropriations? → The portion of an appropriation that has not yet been committed through obligations
22. What does the Management's Discussion and Analysis (MD&A) section of a government's financial report provide? → An analytical overview of the government's financial activities
23. Under the Antideficiency Act, what is prohibited? → Obligating or expending funds in excess of amounts available in an appropriation
24. The Yellow Book (Government Auditing Standards) is published by: → The Government Accountability Office (GAO)
25. A Debt Service Fund is used to account for: → Accumulation of resources for payment of long-term debt principal and interest
26. What is 'fiscal transparency' as it relates to governmental financial reporting? → Providing clear, complete, and accessible financial information to stakeholders
27. What is a 'performance budget' in governmental financial management? → A budget that links resource requests to expected results and performance measures
28. In governmental accounting, an 'encumbrance' represents: → A commitment of funds for a future obligation
29. Which GASB statement established the current framework for fund accounting in state and local governments? → GASB Statement No. 34
30. Which type of government audit focuses on whether a program is achieving its intended results? → Performance audit