CPO CPO Financial Management & Budgeting

Question 1

What is the primary purpose of the annual budget in HUD-assisted housing?

Accepted Answer

To plan and control income and expenditures for property operations

Answer

To determine rent levels for market-rate units

Answer

To calculate tenant income eligibility

Answer

To establish maintenance schedules

Question 2

Which HUD form is typically used to submit the annual operating budget for project-based Section 8 properties?

Accepted Answer

HUD-92547

Answer

HUD-50059

Answer

HUD-2880

Answer

HUD-9839

Question 3

What does 'replacement reserve' refer to in HUD-assisted housing?

Accepted Answer

Funds set aside for major capital improvements and equipment replacement

Answer

Emergency funds for tenant relocation

Answer

Reserves held for vacancy losses

Answer

Funds for staff training and development

Question 4

In a housing authority budget, what are 'operating expenses'?

Accepted Answer

Day-to-day costs of running the property including maintenance, utilities, and administration

Answer

Only utility costs

Answer

Capital improvement costs only

Answer

Tenant security deposits

Question 5

What is a 'residual receipts account' in HUD-assisted properties?

Accepted Answer

An account for surplus project income after all approved expenses are paid

Answer

An account holding funds from security deposits

Answer

A reserve for emergency repairs

Answer

An account tracking tenant payment history

Question 6

Which financial statement provides a snapshot of a property's assets, liabilities, and equity at a specific point in time?

Accepted Answer

Balance sheet

Answer

Income statement

Answer

Cash flow statement

Answer

Budget variance report