FM6: FINAL EXAM

The financial transactions and performance of all government-owned or controlled corporations are being monitored by the Commission on Audit.

• TRUE

• FALSE

The funds of the GOCCs are generated through the sale of the national government’s assets, goods or services.

• TRUE

• FALSE

Answer explanation

The guidelines and regulations of the Commission on Audit dictates the allocation of cash advances in the funds of the local government.

• TRUE

• FALSE

Answer explanation

The maximum amount that the local government can allocate towards debt repayment is only twenty-five percent of its annual budget.

• TRUE

• FALSE

Answer explanation

The LGU of provinces and cities receives twenty percent share from the Internal Revenue Allotment to enable them to effectively carry out the tasks that the national government transferred to them under the Local Government Code.

• TRUE

• FALSE

Answer explanation

Financial audit is a scope of state audit which determines if management is following the rules and regulations.

• TRUE

• FALSE

Answer explanation

The performance, compliance, and financial types of audit overlap and becomes a comprehensive audit.

• TRUE

• FALSE

Answer explanation

Efficiency and effectiveness can be improved through the recommendatory function of the Commission on Audit.

• TRUE

• FALSE

Answer explanation

The performance, compliance, and financial types of audit overlap and becomes a comprehensive audit.

• TRUE

• FALSE

Answer explanation

Financial audit is a scope of state audit which determines if management is following the rules and regulations.

• TRUE

• FALSE

Answer explanation