Session 2.2

Cash advances can be given for any purpose, as long as it is related to the operation of the agency.

• TRUE

• FALSE

An official or employee can received additional cash advances even if the previous cash advance has not been liquidated.

• TRUE

• FALSE

Cash advances can be used for infrastructure projects or other undertakings on a project basis.

• TRUE

• FALSE

The transfer of cash advance from one Accountable Officer (AO) to another is allowed under certain circumstances.

• TRUE

• FALSE

If expenses for official travel exceed the prescribed rate per day, a certification form the Head of Agency regarding the absolute necessity of the expenses, along with the corresponding bills or receipts, is required.

• TRUE

• FALSE

Cash advances can be used to encash checks or liquidate a previous cash advance.

• TRUE

• FALSE

If a cash advance is not used for its intended purpose within two months, it must be returned immediately.

• TRUE

• FALSE

Failure to liquidate a cash advance within the prescribed period may result in the withholding of accountable officer's salary.

• TRUE

• FALSE

For petty cash funds, an approved estimate of petty expenses for one month is required as an additional documentary requirement.

• TRUE

• FALSE

All cash advances, except for petty cash funds, must be fully liquidated at the end of each year.

• TRUE

• FALSE