E- 07 SPSC #338

Card Set Information

E- 07 SPSC #338
2013-04-30 02:30:24
Instructor Dan Godfrey

SPSC #338 E-07
Show Answers:

  1. A Budget is a critical document for
    operations, planning, and administration.
  2. Budgeting is an
    annual and continuing process
  3. Discretionary budgets are for
    special needs that arise
  4. The Starting point for budget preparation is looking at
    the prior year’s budge
  5. Some communities operate on a bottom line philosophy which permits departments to shift funds
    as long as the total budget is not exceeded
  6. Personnel costs account for 80% of the total police budget
    Of that, 25% are fringe benefits
  7. Employees should be encouraged to submit budget suggestions to
    their immediate supervisor
  8. The federal government fiscal year starts in
  9. Process by which financial information about an agency is recorded, summarized, classified, and communicated/interpreted to vested/interested parties is known as
  10. Tough decisions are often necessary in budgeting, not all factors can be measured in dollars, and all budget items require justification.
    These are all true statements.
  11. Top common cost problems include
    absenteeism, paperwork, and turnover
  12. Variance budget analysis involves looking at what has been budgeted and what has already been spent
    and tells you how much you have left over
  13. Cut back budgeting reducing costs is referred to as
    doing more with less, budget reduction, and reduction in expenditures
  14. Formula grants or Block Grants are distributed on the basis of
    population and crime rates
  15. Fixed Costs do not vary in total during a period regardless of services provided
    True or false
  16. The budgeting process begins with
    • 1) the department’s goals
    • 2) objectives
    • 3) work plans
  17. Budgeting system where dollars are allocated based on productivity are
    performance based budgets
  18. Budgeting is a _____ _____ and a ______ ____
    continuous process

    written commitment
  19. The leading federal funding agency for all law enforcement is the
    Department of Justice
  20. Zero based budgeting
    must have a justification for all expenditures
  21. The budget is divided into two classes of expenditures:
    Fixed and Variable
  22. Operating costs that cannot be easily assigned to a particular department when transactions occur and recorded are ______ _____.
    indirect costs
  23. All levels police budget approach means that
    all levels of personnel are involved in the process
  24. Operating expenses of the department exclusive of personnel costs are _________.
  25. The 12 month accounting period is also known as the ______ year.
  26. A list of probable expenses in a given period is known as a
  27. Costs that arise out of normal activities of the agency are ________ _______.
    operating costs
  28. A budget is a working document that is to be used not to be
    cast in stone or held in reverence
  29. Reducing costs is the responsibility of
    every employee
  30. Preparing budgets are difficult because
    most law enforcement services are intangible
  31. Salaries and benefits are considered
    direct expenses
  32. An agencies calendar year and fiscal year may be different
    True or false
  33. Rent and insurance are considered _____ costs
  34. All employees should contribute ideas related to budget items as specific needs arise.
    True or false
  35. Budgets prepared using a logical process beginning with the lowest levels of the department and working upward will be more accurate and complete
    True or false
  36. Line item budgeting was initiated in the early 1900’s and is still widely used today
    True or false
  37. Chiefs should develop a mindset that sees budgeting as a year round process, not just a task that occurs once per year
    True or false
  38. Most budget items are short term and are applicable to current year activities
    True or false
  39. Use of volunteers is declining in law enforcement departments across the country
    True or false
  40. A CPA is an accountant licensed by the state to do public accounting
    True or false
  41. A cash fund of limited amount used for small expenditures when not practical to write checks is called
    petty cash
  42. The first step in cost solving is to identify
    waste areas
  43. A formula grant is also called a _____ grant
  44. A modern version of the program budgeting system that breaks down costs by activity is known as ______ _______ _______.
    activity based costing
  45. Rules of accounting used by agencies in reporting the financial activities are called
  46. A capital budget is for _____ _____ _____.
    big ticket items
  47. Operating costs that can be identified with specific individual departments are
    direct expenses
  48. Variance reports should be made know directly to everyone who ______ or _______ influences the costs
    directly or indirectly
  49. Bottom line budget philosophy allows for the spending of all monies as long as you do not exceed the bottom line
    True or false
  50. Budgets are not infallible because variances will always arise
    True or false
  51. Cut back budgeting requires
    using the same revenues to provide more services
  52. Program budgeting requires much paperwork and is
    perceived by managers as unproductive
  53. Personnel costs are 80% of police budgets, ____ of which are fringe benefits
  54. Financial and discretionary budgets are two types of budgets
    True or false
  55. Most important obligation by the government to the citizens is to
    protect lives and property
  56. Using the team concept departments can cut costs and make improvements at the same time by using an
    employee suggestion program
  57. Quartermaster systems help officers maintain uniforms
    True or false
  58. Variance budget analysis involves the difference between ______ _____ and the ______ ______.
    actual costs and the amount budgeted
  59. Departments have begun charging for traditional services including DUI arrests
    True or false
  60. Performance budgeting is when dollars are allocated based on _________ .
  61. Most budget items are short term for the current budget year
    True or false
  62. According to text the asset forfeiture program is not designed to create property used in illegal activities
    True or false
  63. Budget is divided into two classes of expenses:
    fixed and variable
  64. Supplemental appropriation should be applied for if you are to
    exceed your budget
  65. Another approach to savings costs for agencies is the effort to “Go Green”
    True or false
  66. Contingency funds (aka discretionary budget) are set aside for _________ ________ but the precise total of allowable expenditures is difficult to ascertain.
    unforeseen emergencies
  67. Budgets can be done by anybody in the police department if assigned so by the Chief (all-levels approach)
    True or false
  68. Common costs are costs that are directly traceable to a segment of an agency such as a particular division 
    True or false
    (FALSE – They are not directly traceable).
  69. Salaries and benefits are considered _______ _______. Overtime is a ______ _______.
    • direct expenses 
    • variable cost
  70. Short term expenses are easier to plan for than long term expenses
    True or false
  71. The main clearing house for federal grants is www.grants.gov which allocates billions of dollars in grants. (Grants are difficult to write as there are no templates or easy fill in the blank forms provided).
    True or false