MPA Public Budgeting and Finance

Question 1

Which budgeting approach starts from zero each fiscal year and requires justification for every line item?

Accepted Answer

Zero-based budgeting

Answer

Incremental budgeting

Answer

Performance budgeting

Answer

Program budgeting

Question 2

What is the primary purpose of the Congressional Budget Office (CBO) in the U.S. federal budget process?

Accepted Answer

To provide nonpartisan economic and budget analysis to Congress

Answer

To approve the president's budget

Answer

To audit federal agency spending

Answer

To enforce appropriations limits

Question 3

Which principle states that government expenditures must not exceed revenues over the business cycle?

Accepted Answer

Principle of balance

Answer

Principle of annuality

Answer

Principle of unity

Answer

Principle of specificity

Question 4

What does 'PAYGO' stand for in U.S. federal budget law?

Accepted Answer

Pay as you go

Answer

Payment authorization yearly government obligation

Answer

Public accounting yield guidelines operations

Answer

Payroll accounting yearly government outlay

Question 5

A continuing resolution (CR) in the federal budget context is used to:

Accepted Answer

Temporarily fund the government when appropriations bills have not been enacted

Answer

Permanently fund a new agency

Answer

Authorize a new spending program

Answer

Rescind previously appropriated funds

Question 6

Which type of government bond is backed by the full faith and credit of the issuing government?

Accepted Answer

General obligation bond

Answer

Revenue bond

Answer

Industrial development bond

Answer

Municipal note