Exam 1: Section 3 Vocab: The Government Management Cycle - Vocab

Operating Budget

defines level of resources applied to programs over 1-2 year period

Cash-flow Budget

forecasts the timing and amount of cash flow for a period

Capital Budget

Forecasts and controls spending for "big-ticket" items that are acquired and used over a period of several years for state and local level

Governmental Accounting Standards Board (GASB)

Defines GAAP for state and local government entities

Federal Accounting Standards Advisory Board (FASAB)

Defines GAAP for federal government entities

Financial Accounting Standards Board (FASB)

Defines GAAP for private sector entities

Financial Audits

Presents assessment of whether an entity's financial statements are presented fairly

Most common type of external audit

Attestation Engagements

Measures or evaluates a subject matter or assertion (financial or nonfinancial) in accordance with suitable criteria

Performance Audits

Presents assessment for improving program performance, reducing costs, decision making and public accountability

Annual Comprehensive Financial Report (ACFR)

financial report with an MD&A, basic financial statements, footnotes, and other supplementary information

Certificate of Excellence in Accountability Reporting (CEAR)

AGA program that helps federal agencies produce effective, high-quality Performance and Accountability Reports (PAR) and Agency Financial Reports (AFRs)

Forensic Auditing

combining auditor, accountant, and investigative skills to detect and prevent fraud

Performance and Accountability Report (PAR)

single report required for federal executive agencies that combines financial and performance results

Popular Report

Condensed form of external financial report that provides basic financial information and other performance data in short, easy-to-read format

Generally Accepted Government Auditing Standards (GAGAS)

issued by Government Accountability Office (GAO) to define expected levels of performance for an audit of a government organization, program, activity, or function

Financial Accounting

Accounting that leads to the preparation of external financial reports

Budgetary Accounting

Tracks commitments/requisitions, obligations/encumbrances, and expenditures by purpose, time, and amount to remain within legal budget amounts

Managerial (Cost) Accounting

Combines financial and nonfinancial data to measure cost-effectiveness and efficiency of operations for internal use

Citizen Centric Report (CCR)

Designed to communicate the business of government to the public at federal, state, and local levels.

Four page template that includes comprehensive community information (ex: demographics), mission and service areas, and detailed cost and revenue information.