Practice Test Geeks(CNE) Certified Nonprofit Executive Practice Test
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Grant Management & Compliance Flashcards

7 cards from real CNE practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.

Read the first 7 Grant Management & Compliance flashcards as text

  1. A nonprofit receives a federal grant with a period of performance ending June 30. Unspent funds must be returned unless the organization does what?

    Answer: Requests a no-cost extension before the end date

    A no-cost extension must be requested and approved before the period of performance ends to retain unspent federal grant funds.

  2. Under Uniform Guidance (2 CFR Part 200), which cost principle determines whether a grant expense is allowable?

    Answer: The cost must be necessary, reasonable, allocable, and consistently treated

    Uniform Guidance requires costs to be necessary, reasonable, allocable to the federal award, and consistently treated across cost categories.

  3. When a grantee organization discovers a financial error in a previously submitted federal financial report, what is the required action?

    Answer: Submit a corrected report to the awarding agency promptly

    Grantees must promptly submit corrected financial reports and notify the awarding agency when errors are discovered in previously submitted reports.

  4. Which document governs the specific terms, conditions, and obligations of a federal grant award?

    Answer: The Notice of Award (NOA)

    The Notice of Award is the legally binding document that sets forth the terms, conditions, and amount of a federal grant.

  5. A nonprofit's indirect cost rate has expired. What is the proper approach for charging indirect costs to an active federal grant?

    Answer: Apply the de minimis rate of 10% of MTDC without negotiation

    Organizations without a negotiated rate may use the de minimis rate of 10% of modified total direct costs (MTDC) under 2 CFR §200.414(f).

  6. What is the purpose of a grant closeout report in federal grant management?

    Answer: To document final expenditures, outcomes, and return of unobligated balances

    Closeout reports confirm that all financial and programmatic obligations are met, final costs are reported, and any unobligated funds are returned.

  7. A nonprofit subgrants 40% of a federal award to a community partner. Under Uniform Guidance, the primary grantee is responsible for which of the following?

    Answer: Monitoring the subrecipient's use of funds and compliance

    Pass-through entities must monitor subrecipients to ensure federal funds are used for authorized purposes and in compliance with applicable requirements.