Audit & Accountability Flashcards
7 cards from real Government Procurement Certification practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 7 Audit & Accountability flashcards as text
What is 'uncompensated overtime' and why is it a concern in government cost accounting?
Answer: Hours worked beyond 40 per week by exempt salaried employees without additional pay, which can distort labor rates
Uncompensated overtime by exempt employees lowers effective billing rates but may indicate understaffing or unrealistic pricing in proposals.
Which FAR provision addresses contractor whistleblower protections in the context of fraud reporting?
Answer: FAR 52.203-17
FAR 52.203-17 requires contractors to inform employees of whistleblower rights and protections under 41 U.S.C. § 4712 for reporting fraud or misuse of government funds.
A contractor improperly charges IR&D (Independent Research and Development) costs that benefit only commercial work to a government contract overhead pool. This violates which principle?
Answer: FAR 31.205-18 allowability and the benefit test for indirect costs
FAR 31.205-18 governs IR&D allowability; indirect costs must have a causal or beneficial relationship to the contracts in the pool they are charged to.
What is the significance of a DCAA 'Form 1' (Notice of Contract Costs Suspended and/or Disapproved)?
Answer: It formally notifies the contractor that specific costs have been suspended or disapproved for payment
DCAA Form 1 is an official notice that specific claimed costs are being withheld from payment because they are questioned or found unallowable.
Under the False Claims Act, what is 'qui tam' and how does it relate to government contract fraud?
Answer: A provision allowing private citizens to file suit on behalf of the government and share in any recovery for fraud against the government
The qui tam provision of the False Claims Act allows private whistleblowers (relators) to sue on the government's behalf and receive 15-30% of recovered funds.
When must a contractor notify the contracting officer of a significant overpayment discovered during a self-audit?
Answer: Promptly upon discovery, as contractors are required to self-report and repay erroneous overpayments
Contractors have an affirmative obligation under FAR 32.112-2 to promptly notify the CO and repay any erroneous overpayments discovered.
What is the difference between a 'direct cost' and an 'indirect cost' in government contract accounting?
Answer: Direct costs can be specifically identified to a single final cost objective; indirect costs benefit multiple cost objectives and are allocated
A direct cost is traced to a specific contract (final cost objective), while an indirect cost benefits multiple contracts and must be allocated through a cost pool.