GAC Grant Accounting & Federal Compliance

Question 1

Which federal regulation serves as the primary unified framework governing the administration of federal awards to non-federal entities, consolidating multiple prior OMB circulars?

Accepted Answer

2 CFR Part 200 (Uniform Guidance)

Answer

2 CFR Part 200, known as the Uniform Guidance, is the comprehensive framework that consolidated prior OMB circulars (A-21, A-87, A-102, A-110, A-122, A-133) governing federal award administration.

Question 2

What is a 'pass-through entity' in the context of federal grant management?

Accepted Answer

A non-federal entity that receives a federal award and provides subawards to subrecipients

Answer

A pass-through entity is a non-federal entity that receives a federal award and then distributes subawards to subrecipients to carry out part of the federal program's purpose.

Question 3

Under 2 CFR Part 200, costs charged to federal awards must satisfy which three basic cost principles?

Accepted Answer

Allowable, allocable, and reasonable

Answer

The Uniform Guidance requires that costs be allowable (permitted under regulations), allocable (properly assigned to the award), and reasonable (a prudent person would pay that amount).

Question 4

What is the Catalog of Federal Domestic Assistance (CFDA), now known as Assistance Listings on SAM.gov?

Accepted Answer

A government-wide database identifying all federal assistance programs by unique program numbers

Answer

The CFDA (now Assistance Listings) is a government-wide compendium of federal programs that provide assistance to the public, each identified by a unique five-digit program number.

Question 5

Under 2 CFR Part 200, how is a 'subrecipient' distinguished from a 'contractor'?

Accepted Answer

A subrecipient carries out part of the federal program's purpose via a subaward, while a contractor provides goods or services for the recipient's own use

Answer

A subrecipient receives a subaward to carry out part of the federal program's mission, while a contractor provides commercial goods or services for the recipient's operational needs.

(GAC) Governmental Accounting Certification Practice Test

(GAC) Governmental Accounting Certification Practice Test

GAC Grant Accounting & Federal Compliance