Section 2.3 Financial Expenses

The cost of the procurement of check books is recoded as __________________

• Interest Expenses

• Bank Charges

• Checkbook

• Other Financial Charges

Which account will be used to record the interest incurred from the loan taken for the road construction? The construction of the road was completed within 90 days.

• Road Networks

• Construction-in-Progress - Infrastrucure Assets

• Interest Expenses

• Internet Expenses

Which account should be used to record the payment of passed-on gross receipts tax for the loan obtained from a bank?

• Guarantee Fees

• Other Financial Charges

• Management Supervision/Trusteeship Fees

• Interest Expenses

This account refers to the agency's payment to the bank to keep their line of credit open at a specific date in the future.

• Guarantee Fees

• Management Supervision/Trusteeship Fees

• Commitment Fee

• Bank Charges

TThis account refers to the agency's payment to the GOCC that manages their assets, including mutual funds and unit trusts, for the benefit of the agency.

• Bank Charges

• Management Supervision/Trusteeship Fees

• Due to GOCC

• Guarantee Fees

This account is used to record guarantee fee paid by a debtor government agency to the guarantor for the assurance to pay the agency's obligation to the creditor as stipulated in the guarantee clause.

• Commitment Fee

• Guarantee Fees

• Interest Expenses

• Financial Expenses

This pertains to expenses that are not usually used in the operation of the agency unless a financing was secured by the agency.

• Bank Charges

• Financial Expenses

• Commitment Fee

• Other Financial Charges

Appropriations, allotments and expenditures for financial expenses for LGUs are monitored in _______ and for NGAs in ________________.

• Registry of Appropriations, Allotments, Obligations and Balances - Financial Expenses

• Registry of Appropriations, Allotments and Obligations - Financial Expenses

• Registry of Allotments and Obligations - Financial Expenses

• Registry of Allotments, Obligations and Disbursements - Financial Expenses

• Registry of Appropriations, Allotments, Obligations and Disbursements - Financial Expenses