Practice Test GeeksCPRP - Certified Park and Recreation Professional Practice Test
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Administration & Finance Flashcards

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

Read the first 7 Administration & Finance flashcards as text

  1. A parks agency experiences a significant revenue shortfall mid-year. Which budget action requires governing board approval?

    Answer: Amending the appropriations to reduce authorized spending

    Amending appropriations is a formal legal action that changes the authorized spending limits and requires governing board approval.

  2. Which concept explains why a parks agency charges higher fees for tennis lessons than for open-court access?

    Answer: Tiered pricing based on service exclusivity and direct benefit

    Instructional programs provide exclusive, direct personal benefit to participants, justifying higher fees than general-access amenities that serve the broader public.

  3. An agency's accounts receivable aging report shows 35% of balances are over 90 days past due. The administrator should:

    Answer: Review collection policies and implement more aggressive follow-up procedures

    High aging receivables signal collection process weaknesses; reviewing and strengthening collection policies is the appropriate administrative response.

  4. Which financial ratio best measures a park agency's ability to pay short-term obligations?

    Answer: Current ratio

    The current ratio (current assets divided by current liabilities) measures short-term liquidity and the ability to cover near-term financial obligations.

  5. A park district is creating a 5-year Capital Improvement Plan (CIP). Which criterion should receive the highest priority?

    Answer: Projects addressing safety hazards, ADA compliance, and critical infrastructure

    Safety, legal compliance (ADA), and critical infrastructure failures represent the highest obligation and risk, justifying top CIP priority.

  6. A parks manager uses encumbrance accounting. When a purchase order is issued, the encumbrance entry:

    Answer: Reserves budget authority to prevent over-commitment of funds

    Encumbrances reserve or earmark budget appropriations when a commitment is made, preventing the same funds from being spent elsewhere.

  7. When a parks agency applies for a federal Land and Water Conservation Fund (LWCF) grant, the funded project is subject to:

    Answer: Section 6(f) conversion restrictions in perpetuity

    LWCF Section 6(f) requires that funded parkland be preserved for outdoor recreation in perpetuity; converting the use requires federal approval and replacement land.