Rick Nelson Rick Nelson's Profile Page

Rick Nelson Rick Nelson

0 Course Enrolled • 0 Course Completed

Biography

AGA GFMC PDF Dumps file

The GFMC exam prep from our company will offer the help for you to develop your good study habits. If you buy and use our GFMC study materials, you will cultivate a good habit in study. More importantly, the good habits will help you find the scientific prop learning methods and promote you study efficiency, and then it will be conducive to helping you pass the GFMC Exam in a short time. So hurry to buy the GFMC test guide from our company, you will benefit a lot from it.

In order to meet the needs of all customers, Our GFMC study torrent has a long-distance aid function. If you feel confused about our GFMC test torrent when you use our products, do not hesitate and send a remote assistance invitation to us for help, we are willing to provide remote assistance for you in the shortest time. We have professional IT staff, so your all problems about Examination 3: Governmental Financial Management and Control (GFMC) guide torrent will be solved by our professional IT staff. We can make sure that you will enjoy our considerate service if you buy our GFMC study torrent. There are many IT staffs online every day; you can send your problem, we are glad to help you solve your problem. If you have any question about our GFMC test torrent, do not hesitate and remember to contact us.

>> GFMC Exam Introduction <<

Latest GFMC Test Pdf, GFMC 100% Exam Coverage

In order to make all customers feel comfortable, our company will promise that we will offer the perfect and considerate service for all customers. If you buy the GFMC training files from our company, you will have the right to enjoy the perfect service. If you have any questions about the GFMC learning materials, do not hesitate and ask us in your anytime, we are glad to answer your questions and help you use our GFMC study questions well. We believe our perfect service will make you feel comfortable when you are preparing for your GFMC exam and you will pass the GFMC exam.

AGA Examination 3: Governmental Financial Management and Control (GFMC) Sample Questions (Q36-Q41):

NEW QUESTION # 36
As a way to ensure fiduciary responsiblity, a government entity should include which of the following in its investment policy?

A. historical allocations of investment securities
B. permissible and non-permissible investment securities
C. prices and performance of its investment securities
D. key and non-key investment security controls

Answer: B

Explanation:
Why Include Permissible and Non-Permissible Investment Securities?
* Aninvestment policyoutlines the guidelines and restrictions for managing an entity's investments, ensuring compliance with laws and protecting public funds.
* Listingpermissible(e.g., government bonds, treasury securities) andnon-permissibleinvestments ensures clarity about what the entity can and cannot invest in, helping to mitigate risk and maintain fiduciary responsibility.
Why Other Options Are Incorrect:
* A. Prices and performance of investment securities:This information is important for monitoring investments but does not belong in the policy itself.
* C. Historical allocations of investment securities:Historical data informs decision-making but is not relevant to the rules governing investments.
* D. Key and non-key investment security controls:While controls are critical, they are part of the implementation process, not the investment policy.
References and Documents:
* GAO Investment Policy Guidelines:Recommends specifying permissible investments to ensure fiduciary responsibility.
* GFOA Best Practices in Investment Management:Emphasizes clear investment guidelines in the policy.

NEW QUESTION # 37
A performance measurement that is measured the same way over several periods is

A. consistent.
B. timely.
C. reliable.
D. relevant.

Answer: B

Explanation:
What Is Consistency in Performance Measurement?
Aconsistentperformance measure is one that is calculated and reported in the same way over several periods. Consistency allows for meaningful comparisons and trend analysis, making it easier to evaluate performance over time.
Why Consistency Is the Correct answer:
Performance metrics must remain consistent in methodology, definitions, and scope to ensure the results are comparable across time periods. Without consistency, the reliability and usefulness of the data are diminished.
Why Other Options Are Incorrect:
B). Timely:Timeliness refers to how quickly the information is reported, not whether it is measured consistently.
C). Relevant:Relevance ensures the measure is meaningful to the decision-making process, but it does not address consistency.
D). Reliable:Reliability refers to the accuracy and trustworthiness of the data, not its consistency over time.
References and Documents:
GAO Performance Measurement Guide:Stresses the importance of consistency in tracking and reporting metrics over time.

NEW QUESTION # 38
In the context of audit risk, which type of risk is primarily influenced by the effectiveness of an organization's internal controls?

A. inherent risk
B. control risk
C. detection risk
D. audit risk

Answer: B

Explanation:
What Is Control Risk?
* Control riskrefers to the risk that an organization's internal controls will fail to prevent or detect material misstatements in a timely manner.
* The effectiveness of internal controls directly influences control risk. If controls are weak or poorly designed, the risk increases.
Why Is Option B Correct?
* The primary focus of control risk is the adequacy and effectiveness of an entity's internal controls.
Effective controls reduce the likelihood of material misstatements, while deficiencies increase control risk.
Why Other Options Are Incorrect:
* A. Inherent Risk:This is the risk of material misstatements due to the nature of the business or transactions, independent of controls.
* C. Detection Risk:This refers to the risk that auditors will fail to detect material misstatements. It is influenced by the nature and extent of audit procedures, not internal controls.
* D. Audit Risk:This is the overall risk that an auditor will issue an incorrect opinion. It combines inherent, control, and detection risks.
References and Documents:
* AICPA Standards on Audit Risk (AU-C 315):Explains control risk and its relationship to the effectiveness of internal controls.
* GAO Yellow Book:Emphasizes assessing control risk when evaluating internal controls in audits.

NEW QUESTION # 39
Given the information below, which control would be the lowest priority?
Asset $Amount at Risk Cost of Control

A. AssetA $ 150,000 $15,000
B. Asset B $6,000 $ 2,500
C. Asset C $2,000,000 $50,000
D. Asset D $500,000 $20,000

Answer: B

Explanation:
How to Prioritize Controls Based on Cost and Risk:
* The priority of a control is based on its cost-effectiveness. Controls that protect assets with higher risk exposure relative to the cost of the control should be prioritized. The formula to calculate cost- effectiveness is: Cost-Effectiveness=Cost of ControlAsset Amount at Risk ext{Cost-Effectiveness} =
rac{ ext{Cost of Control}}{ ext{Asset Amount at Risk}}Cost-
Effectiveness=Asset Amount at RiskCost of Control
* Lower ratios indicate more cost-effective controls.
Calculations:
* Asset A:$15,000 / $150,000 = 0.10 (10%)
* Asset B:$2,500 / $6,000 = 0.42 (42%)
* Asset C:$50,000 / $2,000,000 = 0.025 (2.5%)
* Asset D:$20,000 / $500,000 = 0.04 (4%)
Lowest Priority:
* Asset Bhas the highest ratio (42%), meaning it is the least cost-effective and should be the lowest priority for controls.
References and Documents:
* COSO Internal Control Framework:Discusses cost-benefit analysis for prioritizing controls.
* GAO Risk Management Guide:Emphasizes evaluating control cost-effectiveness relative to asset risk.

NEW QUESTION # 40
What might be a cost-effective solution for a local public school to reduce increasing special education costs without violating federal maintenance of effort requirements?

A. Develop a shared services agreement with surrounding districts.
B. Outsource special needs services to a private contractor.
C. Decrease budget allocation for special education services.
D. Shift a portion of the costs in the form of a fee to parents.

Answer: A

Explanation:
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).
References 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.

NEW QUESTION # 41
......

In today's society, many people are busy every day and they think about changing their status of profession. They want to improve their competitiveness in the labor market, but they are worried that it is not easy to obtain the certification of GFMC. Our study tool can meet your needs. Once you use our GFMC exam materials, you don't have to worry about consuming too much time, because high efficiency is our great advantage. You only need to spend 20 to 30 hours on practicing and consolidating of our GFMC learning material, you will have a good result. After years of development practice, our GFMC test torrent is absolutely the best.

Latest GFMC Test Pdf: https://www.pdfbraindumps.com/GFMC_valid-braindumps.html

We have online chat service stuff, if you have any questions about GFMC learning materials, you can have a conversion with us, AGA GFMC Exam Introduction We aim at providing the best training materials for our users, and we will count it an honor to provide sincere service for you, But not matter for what reason, once you decide to attend the GFMC actual test, you should try your best to prepare for it, AGA GFMC Exam Introduction Well begun is half done.

Getting Queries solved It is important to consult an expert who can help GFMC Exam Introduction you with clearing doubts, By clicking on the heading itself or the See All" link next to it, you can view a handful of apps that are available.

Complete GFMC Exam Introduction | Amazing Pass Rate For GFMC: Examination 3: Governmental Financial Management and Control (GFMC) | Trusted Latest GFMC Test Pdf

We have online chat service stuff, if you have any questions about GFMC Learning Materials, you can have a conversion with us, We aim at providing the best training materials GFMC Discount for our users, and we will count it an honor to provide sincere service for you.

But not matter for what reason, once you decide to attend the GFMC actual test, you should try your best to prepare for it, Well begun is half done, Nowadays, the GFMC certification has been one of the criteria for many companies to recruit employees.

Rick Nelson Rick Nelson

Biography

Subscribe

All Access Membership