CDFM Module 2: Budget and Cost Analysis

CDFM Module 2: Budget and Cost Analysis practice questions, page 3 of 4, with answer review and explanations.

Question 11

Who is responsible for setting the discount rates for lease-purchase and cost-effectiveness analyses in the Federal Government?

  1. Director of the Office of Management and Budget
  2. Under Secretary of Defense (Comptroller)
  3. Secretary of the Treasury
  4. Chairman of the Joint Chiefs of Staff

Question 12

All of the following statements are true concerning the National Intelligence Program (NIP) except:

  1. NIP resource management is overseen by the Director of National Intelligence.
  2. NIP is governed by U.S.C. Title 50 - War and National Defense.
  3. NIP funds are reviewed, approved, and managed as a distinct entity.
  4. NIP resource details are displayed in the President's Budget.

Question 13

Which tool should all Department of Defense (DoD) Components use to improve the operating effectiveness of their organizations across operational, administrative, science and technology, and support functions?

  1. Total Quality Management
  2. Continuous Process Improvement (CPI)/Lean Six Sigma (LSS) Program
  3. Government Management Reform Act of 1994 (GMRA)
  4. Process mapping

Question 14

In an Economy Act transaction, if an agency or unit filling the order has not incurred obligations before the end of the appropriation's availability period:

  1. the appropriation must remain available for future obligations until the agreement is terminated.
  2. the amount originally obligated must be deobligated in the same amount as the original obligation.
  3. the amount originally obligated remains available for adjustments.
  4. estimated obligations should be made prior to the end of the appropriation's availability period to cover the amounts which are anticipated after the availability period ends.

Question 15

The Secretary of Defense shall take action as is necessary to reform the Department of Defense to improve the efficacy and efficiency of the Department, and to improve the ability of the Department to prioritize among and assess the costs and benefits of covered elements of reform; which of the following is not a covered element of reform under 10 U.S.C. ยง 125(a)?

  1. Tracking and implementation of technological approaches to improve management decision-making, such as artificial intelligence tools
  2. Streamline and remove barriers to communication and develop sensible government processes
  3. Development and implementation of a uniform methodology for tracking and assessing cost savings and cost avoidance from reform initiatives
  4. Business systems modernization