St. Vincent de Ferrer College of Camarin, Inc.

SVFC Compound,San Vicente Ferrer St., Area D, Brgy 178, Camarin Caloocan City
Tel. No. 6682575; Email Address:st.vincentdeferrercollegeofccc@yahoo.com

ACCTG 16- ACCOUNTING FOR GOVERNMENTAL, NOT FOR PROFIT ENTITIES &
SPECIALIZED INDUSTRIES
MIDTERM EXAMINATION
I. Multiple Choice

1. It is the process of analyzing, recording, classifying, summarizing and communicating all

transactions involving funds and property and interpreting the results thereof.

a. Government auditing
b. Government budgeting
c. Government accounting
d. National government

2. Which is not charged with the government accounting responsibility?

a. commission on Audit
b. Department of Budget and Management
c. National Government Agencies
Agenci
d. Legislative government

3. What is the role of the Bureau of Treasury in relation to government accounting

responsibility?

a. To receive and keep national funds and manage or control disbursements thereof.
b. To design, prepare and approve the accounting systems of government agencies
c. To keep the general accounts of the national government
d. To prepare the annual financial report of the national government, its instrumentalities
and government-owned
owned or controlled corporations.

4. What is the legal

egal basis of the Commission on Audit in prescribing the New Government
Accounting System manual?

a. PD 1445
b. Constitution of the republic of the Philippines
c. COA Circular No. 2002-003
2002
d. PD 1445 and the Constitution of the Republic of the Philippines

5. The books accounts are composed of the following:

a. Regular Agency books and National Government Books

b. National Government books of original entry
 c. Journals and general/subsidiary ledger
d. Regular Agency books and books of original entry

6. The following are the systems followed in the New Government Accounting System,
EXCEPT

a. Commercial accounting
b. Double-entry bookkeeping
c. Responsibility accounting
d. Fund accounting

7. What is the basis of accounting under the New Government Accounting System?

a. Modified accrual
b. Cash basis
c. Accrual basis
d. Strict accrual

8. To provide for responsibility accounting, the New Government Accounting Systems uses
a standard chart of accounts with

a. Three digits
b. Four digits
c. Five digits
d. Six digits

9. The following are the objectives of the NGAS, which is NOT

a. Simplify government accounting

b. Conform to International Accounting Standards
c. Comply with the requirements of International Monetary Board
d. Generate periodic and relevant financial reports for better monitoring or performance.

10. Under the NGAS, Serviceable assets no longer being used shall be reclassified as:

a. Depreciated assets
b. Obsolete property
c. Other assets
d. Property, plant and equipment

11. It is the system of Prescribing the procedures for recording appropriations, allotments and
obligations.

a. Fund accounting
b. Budgetary accounting
c. Obligation accounting
d. Government accounting
12. Its main concern is the availability and use of funds for public services.

a. Commission on Audit
b. Department of finance
c. Bureau of Treasury
d. National Budgetary System

13. It is the statement of estimated receipts and estimated expenses of the government, which
serves as basis for a General Appropriation Act.

a. Statement of financial position

b. Statement of operations
c. National government budget
d. local government budget

14. Which department prepares the national budget, which serves as the basis of the General
Appropriation Act?

a. Executive Department
b. Legislative Department
c. Judiciary Department
d. National Government Agencies/units

15. It is the legislative consideration, review and approval of the national budget.

a. Preparation
b. Authorization
c. Execution
d. Accountability

16. It is the implementation of the national budget by different departments and release of
allotments.

a. Budget preparation
b. Budget authorization
c. Budget execution
d. Budget accountability

17. It denotes the responsibility to others that one or more persons have for their actions and
behavior.

a. Preparation
b. Accountability
c. Authorization
d. Execution

18. It is the legislative authorization to make payments out of government foods under
specified conditions and specific purposes.
 a. Appropriation
b. Allotment
c. Obligation
d. Budgeting

19. In government accounting, which of the following is a personal service?

a. Telephone charge
b. Rent
c. Meal allowance for overtime work
d. Salaries and wages

20. In government accounting which of the following is a capital outlay?

a. Salaries and wages

b. Repairs and maintenance
c. Land improvement
d. Merchandise inventory

II-

1. Define and discuss the underlying reason why a chart of accounts is prescribed in the
New Government Accounting System.

2. What the two general classifications of income/revenue under the new standard chart
accounts? Explain briefly.
3. Give examples of general income
4. What are the three classifications of expenses under the new standard chart of accounts/
Give examples?
5. Define intermediate accounts.