CGFM Exam Dumps and Practice Questions

* What Is an Outcome Measure?

An outcome measure evaluates the results or impacts of a program or service, focusing on whether objectives were achieved (e.g., efficiency, effectiveness, or quality).

Percentage of disaster claims paid on time directly reflects the program's ability to meet its goal of providing timely financial assistance to disaster victims, making it an outcome measure.

* Why Other Options Are Incorrect:

A . Amount of disability inquiries received during a pandemic: This is an input measure, as it reflects the demand or workload, not the results.

B . Total environmental impact statements reviewed: This is an output measure, showing the quantity of work done, not the effectiveness or result.

C . Number of federal capital territory students that graduated: While this measures results, it reflects an output rather than an outcome (it doesn't assess the quality or long-term impact of education).

* Reference and Documents:

Government Performance and Results Act (GPRA): Emphasizes the use of outcome measures to evaluate program performance.

GAO Performance Measurement Guide: Defines and provides examples of outcome, output, and input measures.

* What Is an Internal Control Deficiency?

An internal control deficiency occurs when an organization fails to implement controls to prevent or detect risks effectively.

In this case, responding only to maintenance needs when complaints are received demonstrates a lack of proactive controls, increasing the risk of issues going unnoticed or escalating over time.

* Why Is Option C Correct?

Proactive maintenance schedules and inspections are essential for ensuring the safety and functionality of critical infrastructure like dams. Relying solely on complaints or employee reports is a reactive approach and represents a deficiency in internal controls.

* Why Other Options Are Incorrect:

A . Inspecting completed work: This is a proper control to ensure compliance with contract specifications.

B . Releasing the bond after work completion: This ensures contractual obligations are met and is a good control practice.

D . Checking bidder references: This is part of the procurement process and a valid internal control.

* Reference and Documents:

GAO Standards for Internal Control (Green Book): Emphasizes proactive controls and monitoring for critical operations.

Federal Infrastructure Maintenance Best Practices: Highlights proactive inspections and maintenance as essential controls.

* Why Shared Services Agreements Are Cost-Effective:

A shared services agreement allows multiple school districts to pool resources and share the costs of special education services, such as specialized staff, transportation, or facilities.

This reduces duplication of services, increases efficiency, and helps lower costs without reducing the quality of education provided.

* Why Federal Maintenance of Effort (MOE) Requirements Matter:

Under federal law, schools must maintain a certain level of funding for special education services to receive federal grants. Cutting budgets or shifting costs directly to parents would likely violate MOE requirements.

* Why Other Options Are Incorrect:

A . Shift a portion of the costs in the form of a fee to parents: This violates federal regulations, as public schools cannot charge parents for special education services.

B . Decrease budget allocation for special education services: This would also violate MOE requirements and reduce services for students with special needs.

D . Outsource special needs services to a private contractor: While outsourcing can be an option, it may not always reduce costs and could introduce additional risks (e.g., quality concerns or compliance issues).

* Reference and Documents:

Individuals with Disabilities Education Act (IDEA): Mandates federal MOE requirements for special education funding.

GAO Report on Shared Services in Education: Highlights cost-saving benefits of shared services agreements.

Performance Audit Overview:

A performance audit focuses on evaluating the economy, efficiency, and effectiveness of government programs or activities.

Due professional care is a requirement in Government Auditing Standards (Yellow Book), ensuring auditors perform their duties responsibly and with professional judgment.

Key Requirement: Sufficient and Competent Evidence:

Auditors must collect sufficient and reliable evidence to support their findings, conclusions, and recommendations. This is the cornerstone of 'due professional care.'

Explanation of Answer Choices:

A . Obtain sufficient and competent evidence: Correct. This ensures audit findings are supported by reliable, documented evidence.

B . Determine scope: While part of audit planning, it is not directly related to due professional care.

C . Set materiality of financial statements: This applies to financial audits, not performance audits.

D . Present the findings in accordance with GAAP: GAAP is not a requirement for performance audits.

GAO, Government Auditing Standards (Yellow Book).

Association of Government Accountants (AGA), Performance Auditing Practices.

* What Is a Risk Profile?

A risk profile represents the aggregate level and types of risks that an organization is willing to accept in pursuit of its strategic objectives. It aligns with the organization's risk appetite and tolerance and helps prioritize and manage risks effectively.

This profile typically includes key risks, their likelihood, and potential impact, as well as how those risks align with the organization's mission and strategy.

* Why Is Risk Profile the Correct Answer?

The risk profile provides an enterprise-wide view of risks and their potential influence on achieving strategic goals. It aggregates risks across all levels of the organization and ensures that management considers them when making decisions.

* Why Other Options Are Incorrect:

A . Risk Register: While a risk register includes detailed descriptions of individual risks, it does not aggregate risk levels or types across the organization.

B . Risk and Control Evaluation Matrix: This tool evaluates specific risks and controls but does not capture the organization's overall risk appetite or profile.

D . Risk and Control Assessment Tool: This is a generic tool for assessing risks and controls, not for aggregating the overall risk picture.

* Reference and Documents:

OMB Circular A-123: Specifies the need for agencies to maintain a risk profile as part of enterprise risk management.

COSO ERM Framework (2017): Defines a risk profile as central to managing risks in alignment with strategic objectives.