CPRP Administration & Finance 2

Question 1

Which financial statement shows a park agency's revenues and expenditures over a specific time period?

Accepted Answer

Statement of revenues, expenditures, and changes in fund balance

Answer

The statement of revenues, expenditures, and changes in fund balance reports inflows and outflows during an accounting period for governmental funds.

Question 2

A parks department wants to fund a new aquatic center through bonds repaid by user fees. This is best structured as:

Accepted Answer

Revenue bond

Answer

Revenue bonds are repaid from the income generated by the specific facility or project they finance, making them ideal when user fees will cover debt service.

Question 3

Under GASB standards, park and recreation agencies must report infrastructure assets using which approach?

Accepted Answer

Modified approach or depreciation

Answer

GASB allows agencies to either depreciate infrastructure assets or use the modified approach, which requires maintaining the assets at a set condition level.

Question 4

A supervisor notices staff overtime costs are 40% over budget mid-year. The most appropriate immediate action is to:

Accepted Answer

Analyze the variance and implement corrective staffing measures

Answer

Identifying the cause of variance and adjusting staffing is the first step before considering budget amendments or program cuts.

Question 5

Which procurement method requires a park agency to select a vendor based on both technical qualifications and price?

Accepted Answer

Request for Proposals (RFP)

Answer

An RFP evaluates both the technical approach/qualifications and cost, unlike an IFB which awards solely on lowest price.

CPRP - Certified Park and Recreation Professional Practice Test

CPRP - Certified Park and Recreation Professional Practice Test

CPRP Administration & Finance 2