Sushil P.

question

answer

justification

ref

toughmark

chapter

1) Public Sector covers which of the following areas?

General government

Non-financial corporations sector

Financial corporations sector

All of the above

BookM1C1

2) Whole of the government means?

General government

Extra budgetary entities

Public corporation

All of the above

BookM1C1

3) PFM architecture covers which of the following components?

PFM institutions

PFM Process

PFM system

All of the above

BookM1C1

4) PFM cycle doesn't cover which of the following process?

Planning process

Budget execution

Infrastructure development

Accounting and reporting

BookM1C1

5) Which one of the following is not a primary objective of Public Financial Management (PFM)?

Maintaining aggregate fiscal discipline

Strategic allocation of resources

Ensure operational fiscal efficiency

Reducing corruption

BookM1C1

6) Which one of the following is a fiscal policy?

Activity based budgeting

Revenue forecasting

Medium term expenditure framework

Project bank management

BookM1C1

7) Which is the guiding law for public finance management?

National Natural Resources and Fiscal Commission Act, 2017

The Financial Procedure and Fiscal Accountability Act 2019

Intergovernmental Fiscal Commission Act, 2017

Audit Act, 2018

BookM1C1

8) Local Government Operations Act, 2017 covers which of the following areas?

Local level budget execution

Local level internal control

Accountability and responsibility

All of the above

Note: Correct answer provided was F, which isn't an option

BookM1C1

9) Which institution in Nepal is responsible for formulating and monitoring fiscal policy?

National Planning Commission

Ministry of Finance

Financial Comptroller General Office

National Natural Resources and Fiscal Commission

BookM1C1

10) Which institution is responsible for central budget execution recording and reporting?

Ministry of Finance

Financial comptroller general office

District treasury controller office

National Natural Resources and Fiscal Commission

BookM1C1

11) Which ministry is the main coordinating body responsible for PFM in Nepal at provincial level?

Provincial Planning Commission

Ministry of Planning and Economic Affairs (आर्थिक मामिला तथा योजना मन्त्रालय)

Office of the Chief Minister and Council of Minister

Ministry of Internal Affairs (आन्तरिकर मामिला मन्त्रालय)

BookM1C1

12) Which of the following IT system handles budgeting?

CGAS

LMBIS

TSA

NAMS

BookM1C1

13) Which of the following system/software is used by the local government?

L-TSA

P-TSA

SUTRA

FMIS

BookM1C1

14) What triggers PFM reforms?

Public demand for accountability

Increased political instability

Lack of government spending

All of the above

Note: Correct answer provided was E, which isn't an option

BookM1C1

15) Which one of the following is major tool for PFM assessment?

Fiduciary Risk assessment

Local level institutional Self-assessment (LISA)

Public Expenditure and financial accountability (PEFA)

Tax Administration and Diagnostics Assessment Tool (TADAT)

BookM1C1

16) What is the purpose of the Annual Appropriation Act?

To authorize government expenditures

To regulate tax collection

To determine fiscal deficits

To allocate foreign aid

Note: Correct answer provided was B, but A seems more accurate

BookM1C1

17) What is the role of the National Natural Resources and Fiscal Commission in Nepal?

Monitoring government expenditure

Determining revenue sharing formulas

Developing fiscal policies

Distributing grants to Province and local level

BookM1C1

18) How many dimensions are there in the PEFA assessment?

Seven

Three

Four

Five

Transparency and comprehensiveness, Linking budgeting planning and policy, Control oversight and accountability (Para 6.2)

BookM1C1

19) Which of the following acts as tool for implementing PFM reform

Development action plan (DAP)

PFM reform strategy

PFM reform action plan

All of the above

Note: Correct answer provided was E, which isn't an option

BookM1C1

20) How do PFM reforms contribute to strengthening governance?

By increasing government borrowing

By reducing transparency in financial management

By promoting accountability and efficiency in resource allocation

By expanding public expenditure without constraints

BookM1C1

21) What aspect of PFM does the Financial Procedure and Fiscal Accountability Act regulate?

Budget formulation and execution

Tax collection procedures

Public debt management

Revenue allocation mechanisms

BookM1C1

22) Which is not the major PFM actors?

The President

Public Procurement Monitoring Office

Ministry of Finance

Institute of Chartered Accountant of Nepal

BookM1C1

23) What is the main purpose of PFM Reform Strategy?

To increase public sector wages

To create new taxes

To strengthen the management of public finance

To reduce government spending

BookM1C1

24) What is the main focus of efficient public service delivery?

Increasing taxes

Reducing public sector size

Ensuring effective resource utilization

Expanding government programs

BookM1C1

25) What is a treasury single account (TSA)?

Expenditure management mechanism

Cash and bank management tool

Revenue accounts

Fiscal Policy Framework

BookM1C1

1. PFM’s integrated approach doesn’t encompass which of the following

Envisioning of fiscal policy

Re-engenering PFM Reforms

Microeconomic Forecasting

Complete budget cycle components

HarshalBhandariM1C1#

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2. PFM is commonly conceived as a cycle of following number of phases.

Planning, Budgeting, Executing, Accounting, Monitoring, Auditing

HarshalBhandariM1C1

3. Which of the following doesn’t primarily fall under the phase of PFM Cycle.

Policy/Strategy/Plan Preparation

Inspection of Climatic Change

External Scrutiny and Audit

Monitoring/Evaluation

HarshalBhandariM1C1

4. Which of the following is not the key objective of PFM

Debt reduction of Public Entity.

Maintain aggregate fiscal discipline

Ensure strategic allocation of resources.

Ensure efficient service delivery.

HarshalBhandariM1C1

5. Which of the following is not the objective of PFM

Management of Trade deficit

Transparency and accountability in government operation

Strengthening internal control system

Assist in safeguarding and utilization of public property

HarshalBhandariM1C1

6. Which of the following is not the characteristics of Sound PFM

Predictability and Stability

Legal Compliance

Tax Reduction

Linking budgeting, planning and policy

HarshalBhandariM1C1

7. PFM Systems are not composed of

Sidestream processes.

Upstream processes.

Midstream processes

Downstream processes

PFM systems are composed of upstream, midstream, and downstream processes.

HarshalBhandariM1C1

8. Process of Budget Execution falls under which function/process of PFM system

Upstream

Sidestream

Midstream

None of the above

It's essential to understand the upstream functions where the political leaders and top bureaucratic officials are involved in the decision-making process whereas the Midstream/downstream function involves the execution of the policies.

HarshalBhandariM1C1#

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9. Which one is the latest PEFA assessment done by Nepal and published on 30 April, 2024

3rd

4th

2nd

5th

HarshalBhandariM1C1

10. The Consolidated fund has been established for which level of the government.

Federal

Provincial

Local

All of the above

HarshalBhandariM1C1

11. Which of the following body is responsible for just and equitable distribution of natural and fiscal resources among three tiers of government.

FCGO

NPC

MOF

NNRFC

National Natural Resources and Fiscal Commission (NNRFC)

HarshalBhandariM1C1

12. Which of the following serves as a principal law for planning, budget, formulating, executing, accounting, reporting and auditing.

A) FPFA Act, 2019

B) FPFA Regulation 2021

C) Both a and b

D) Annual Appropriation Act

HarshalBhandariM1C1##

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13. Which of the following coordinating function doesn’t rest with FCGO.

Internal Control

Budget Preparation and Execution

Accounting

Audit

The coordination functions for budget preparation and execution rests with MoF and NPC whereas accounting, reporting, internal control & audit rest with the FCGO,

HarshalBhandariM1C1

14. Which is the main focal agency to drive provincial level plans, policies and programs

Office of Chief of Province

Province attorney general

Province planning commission

Province assembly

HarshalBhandariM1C1

1. What is the main objective of Public Financial Management (PFM)?

To increase government spending

To reduce taxes

To ensure performance, transparency, and accountability in the use of public money

To privatize public services

DeepakAdhikariM1C1

2. When did Nepal initiate its PFM reforms?

1980s

1990s

2000s

2010s

DeepakAdhikariM1C1

3. What does PEFA stand for?

Public Economic and Financial Accountability

Public Expenditure and Financial Accountability

Public Efficiency and Financial Assessment

Public Evaluation and Fiscal Analysis

DeepakAdhikariM1C1

4. What year was the first PEFA assessment conducted in Nepal?

2001

2005

2008

2010

DeepakAdhikariM1C1##

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5. Which agency is the leading institution for PFM reform in Nepal?

Ministry of Finance

Office of the Prime Minister

PEFA Secretariat

National Planning Commission

DeepakAdhikariM1C1

6. The first phase of PFM reform strategy included how many development action plans?

100

147

200

250

DeepakAdhikariM1C1

7. Which system is used in Nepal for optimizing cash management and tracking spending processes?

Treasury Single Account (TSA)

Revenue Management Information System (RMIS)

Integrated Financial Management Information System (IFMIS)

Financial Management Information System (FMIS)

DeepakAdhikariM1C1

8. What does RMIS stand for?

Resource Management Information System

Revenue Management Information System

Risk Management Information System

Regulatory Management Information System

DeepakAdhikariM1C1

9. The second phase of PFM reform strategy covers which years?

2010/11-2015/16

2015/16-2020/21

2016/17-2025/26

2017/18-2022/23

DeepakAdhikariM1C1##*

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10. Which international standards are being progressively implemented for public sector accounting in Nepal?

IFRS

IPSAS

GAAP

NPSAS

DeepakAdhikariM1C1

11. What is the primary goal of the PEFA framework?

To increase government revenue

To assess transparency and accountability of PFM performance

To promote privatization

To decrease government expenditures

DeepakAdhikariM1C1

12. What year was the PEFA Secretariat established in Nepal?

2005

2008

2009

2010

DeepakAdhikariM1C2#

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13. Which system provides a comprehensive framework for PFM performance analysis with 94 dimensions?

TSA

PEFA

IFMIS

RMIS

Public Expenditure and Financial Accountability (PEFA) PEFA provides a framework for assessment of transparency and accountability of overall PFM performance of the government. It is a methodology for assessing public financial management performance which identifies 94 dimensions across 31 public financial management indicators in 7 broad areas of activity (pillars).

DeepakAdhikariM1C2#

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14. What is the role of the Financial Comptroller General Office (FCGO) in Nepal's PFM system?

To conduct audits

To manage the treasury and oversee budget execution

To collect taxes

To develop financial regulations

DeepakAdhikariM1C2

15. Which document outlined the detailed roadmap for Nepal’s interim IFMIS?

PEFA Assessment Report

PFM Reform Strategy

IFMIS Study Report

National Budget Plan

DeepakAdhikariM1C2

16. How often are PEFA assessments conducted in Nepal?

Annually

Every two years

Every three years

Every five years

DeepakAdhikariM1C2

17. Which of the following is not a key operation of the IFMIS?

Budget preparation and execution

Revenue collection

Public procurement

Cash forecasting

DeepakAdhikariM1C2

18. What does CGAS stand for in Nepal's PFM system?

Central Government Accounting System

Comprehensive Government Accounting System

Computerized Government Accounting System

Common Government Accounting System

सरकारी लेखा प्रणाली

DeepakAdhikariM1C2

19. Which agency is responsible for external audit in Nepal's public sector?

Ministry of Finance

Office of the Auditor General (OAGN)

PEFA Secretariat

Financial Comptroller General Office

DeepakAdhikariM1C2#

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20. What is the main purpose of the Treasury Single Account (TSA)?

To manage the government’s debt

To consolidate and optimize cash management

To oversee public procurement

To enforce tax collection

DeepakAdhikariM1C2

21. Which phase of the PFM Reform Strategy recognized the importance of an integrated approach?

First phase

Second phase

Third phase

Fourth phase

DeepakAdhikariM1C2#

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22. The Multi-Donor Trust Fund (MDTF) supports which project in Nepal?

Strengthening Public Financial Management (SPFM)

Revenue Management Information System (RMIS)

Integrated Financial Management Information System (IFMIS)

Nepal Public Sector Accounting Standards (NPSAS)

DeepakAdhikariM1C2#

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23. The PFM Reform Steering Committee is chaired by whom?

Prime Minister

Finance Minister

Finance Secretary

Auditor General

DeepakAdhikariM1C2##*

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24. Which of the following is not a major PFM reform stakeholder institution at the federal level in Nepal?

Ministry of Finance

Office of the Prime Minister

National Planning Commission

Central Bank of Nepal

DeepakAdhikariM1C2

25. What is the main focus of the Public Procurement Monitoring Office (PPMO)?

To manage government debt

To oversee and regulate public procurement

To enhance audit processes

To implement financial reporting standards

DeepakAdhikariM1C2

26. What is one of the key achievements of the first phase of PFM reform strategy in Nepal?

Establishment of the National Planning Commission

Implementation of the Treasury Single Account (TSA)

Privatization of public enterprises

Reduction of national debt

DeepakAdhikariM1C2#

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27. What is the role of the National Natural Resource and Fiscal Commission in Nepal's PFM system?

To conduct audits

To manage natural resources and fiscal policies

To oversee public procurement

To develop financial regulations

DeepakAdhikariM1C2

28. Which of the following is a cash management optimization system in Nepal?

IFMIS

RMIS

TSA

PEFA

DeepakAdhikariM1C2

29. What does NPSAS stand for?

Nepal Public Sector Accounting Standards

National Public Sector Audit Standards

Nepal Private Sector Accounting Standards

National Procurement Standards and Accounting System

DeepakAdhikariM1C2

30. What is the primary purpose of the Integrated Financial Management Information System (IFMIS)?

To streamline tax collection processes

To manage public financial operations comprehensively

To enhance procurement efficiency

To reduce government expenditure

DeepakAdhikariM1C2

31. Which organization supports the modernization of external audit in Nepal’s public sector?

World Bank

PEFA Secretariat

Office of the Auditor General (OAGN)

Ministry of Finance

DeepakAdhikariM1C2#

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32. What does LMBIS stand for in the context of Nepal’s PFM?

Local Management Budget Information System

Line Ministry Budget Information System

Long-term Management Budget Information System

Legislative Ministry Budget Information System

DeepakAdhikariM1C2

33. The IFMIS is envisioned to fully manage which of the following operations?

Cash forecasting and liquidity management

Human resource management

Infrastructure development

Environmental protection

DeepakAdhikariM1C2

1) Periodic plan includes which of the follow process:

Constitutional spirit

sectoral plan

review of previous plan

all of the above

BookM2C1

2) Budget preparation flow is;

top-down approach

bottom-up approach

mixed approach

LMBIS

Based on the Guidelines of NPC and the Ministry of Finance, the Budget Committee of the central entity sends departmental ceilings and the Department sets each office's ceiling. The ceiling follows a top-down approach while budget entry into the line ministry budget information system (LMBIS) is a bottom-up approach.

BookM2C1#

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3) Which is not correct for planning by LG, selection combination of following options: 1. LG consults with stakeholders 2. Project implementation schedule preparation 3. Refusal of conditions in the grant of Federation and province 4. Detachment with non-governmental sectors

1,2,3,4

1,2,3

1,2

3,4

BookM2C1

4) Budget approval is...........

parliamentary approval

cabinet approval

presidential approval

MoF and NPC approval

BookM2C1

5) Which of the following budget approaches has the highest autonomy to spend and responsibility for service delivery?

Performance budget

line-item budget

zero based budget

beyond budgeting

Note: Correct answer given was E, which isn't an option

BookM2C1

6) Which of the items does financing captures

changes in cash, deposits, securities and equity held for liquidity purposes

Net borrowings

privatization proceeds

all of above

BookM2C1

7) Investment (share or loan) in Nepal Oil Corporation by government of Nepal is to be budgeted under

recurrent budget

capital budget

financing budget

off budget

BookM2C1

8) Interest and principal of public debt payment should be categorized as per the COFOG, select the appropriate combination:
1. Interest and principal of public debt is classified into 701 general public service
2. Interest and principal of public debt is classified into 704 economic affairs
3. Interest expenses is categorized into 701 general public service and principal payment is not part of COFOG
4. Interest and principal payment of public debt are not part of COFOG

1,2,3,4

1,2,3

Classification of Function of Government (COFOG), is a detailed classification of the government functions or socioeconomic objectives to achieve by spending budget. For instance 701 General Public Service, 702 Defense, 703 Public Security and Peace, 704 Economic Affairs, 705 Environmental Protection, 706 Housing and Community Facilities, 707 Health, 708 Recreational, Culture and Religion, 709 Education, 710 Social Security. COFOG is also used to distinguish between individual (IS) and collective (CS) goods and services. In Nepal, ministry and division changes often take place, which changes the administrative classification. But, COFOG ignores the organizational and administrative classification and gives the consistent trends in government spending over the time period.

BookM2C1#

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9) Which of the following tools are known as rolling budget framework?

Mid Term fiscal Framework.

Medium Term Expenditure Framework

Mid Term Evaluation Framework

Medium Term Evaluation Function

BookM2C1

10) What does unallocated/budget (Abanda) and Virement does in budget practice: 1. Reduce the budget reliability 2. increase the budget expenditure Select the correct option

1 and 2

1 only

2 only

None of the above

BookM2C1

11) Budget execution is

action side of government

combination of various resources

translation of plan into results

All of the above

BookM2C1

12) Is it possible to proceed with any activity during the budget execution which is not in the LMBIS? Select the correct option

yes

based on decision of office chief

virement or program amendment for certain activity

BookM2C1

13) MoF often reduces the target of budget (revenue and expenditure) during mid term evaluation. Which one is correct? 1) Reduction of the budget is mandatory and valid by MoF 2) During the PEFA assessment, revised target is comparable with actual 3) M &E evaluates physical and financial progress 4) Each ministry shall send their M & E of program and budget to MoF

1,2

1,2,3,4

1,2,3

no one

BookM2C1#

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14) Which central entity is not directly involved for cash projection for federation?

NPC

MoF

NRB

FCGO

BookM2C1

15) Select options which are not correct in the case of public debt management of Nepal: A) SNG are borrowing external (foreign) loan B) Government debt to GDP ratio is far below from the debt sustainability perspective. C) Bilateral external loan is less expensive than multilateral external loan D) Public debt is a monetary policy tool rather than a fiscal policy tool.

A, C

A, D

A, C,

B, D

BookM2C1##

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16) Select the right choices: A) GoN's Equalization grant is released by respective DTCO to the local level quarterly based on documents submitted by local levet B) Complementary grant can be contributed up to 50% by GoN to SNG's infrastructure cost C) Special grant can be transferred up to 50% by GoN to SNG's selected activity cost. D) Conditional grant if not used within the fiscal year have to be refunded by the recipient within the FY.

A, B, D

A, B

B, C

C,D

BookM2C1##

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17) Which one of the following is not a fiscal transfer?

Complementary grant

Special grant

Conditional grant

Subsidy grant

BookM2C1

18) Which one is correct option regarding following arguments? 1. Foreign aid aims to fulfill gap of the foreign currency and technology transfer 2. Budgetary support is better than project based foreign aid 3. Foreign aid is necessary evil for Nepal 4. DP has also responsibility for low disbursement in Nepal 5. In some project, counter part fund is not allocated which delays the project. 6. Blending financing is accepted by the foreign aid policy of Nepal.

1 to 6

1 to 5 only

1 to 4 only

1 to 3 only

BookM2C1##

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19) Which one of the following is not a mode of disbursement in case of a foreign grant?

Cash

Reimbursement

Advance account

Disbursement

BookM2C1

20) Increasing trend of recurrent expenditure along with fiscal discipline is one of major challenge in the budgetary process. Beside the statement select Incorrect option relating to budgetary process. 1. Frequent turnover and capacity of employees hampering budget process 2. Weak project management 3. Court intervention expedites the budget process

1,2,3

1,2

BookM2C1

Who is responsible for issuing debt securities on behalf of the government?

MoF

FCGO

NRB

PDMO

RishiRamChaliseM2C1

What system is used by the federal government for the expenditure side?

ASYCUDA

SuTRA

LMBIS

RAS

RD-RAS (Revenue Administration Support)

RishiRamChaliseM2C1

What is the main objective of performance-based budgeting?

Focus on input only

Focus on output and outcomes

Focus on cost reduction

Focus on process only

RishiRamChaliseM2C1

What is planning?

The act of thinking ahead and setting goals

The end product of a plan

The present socio-economic status of the country

A specific and detailed outline or strategy for achieving a particular goal or objective

RishiRamChaliseM2C1

What needs to be considered during budget preparation?

Climate coding

Procurement plan

Consultation with stakeholders

All of the above

RishiRamChaliseM2C1

What is a risk related to construction in PPPs?

Land and right-of-way issues

Force majeure

Operational risks

Material adverse government actions

RishiRamChaliseM2C1

What is essential for a successful plan?

Strong monitoring and evaluation mechanism

System of identifying risk and developing strategy

Analysis of the situation including strength, weaknesses, opportunities and threats

Sufficient human, financial, technological resources

RishiRamChaliseM2C1

What is recommended to be conducted prior to budget allocation for projects?

Commission of contract payment

Contract award

Advance payment to contractor

Environmental Impact assessment (EIA)

RishiRamChaliseM2C1

100

Which is not the type out of four types of grant stipulated by the constitution?

Fiscal Equilibrium Grants

Matching Grants

Special Grants

Conditional Grant

It is not Fiscal Equilibrium Grants. It is Fiscal Equalization Grants

RishiRamChaliseM2C1##

101

1.00

Who signs the agreement on behalf of the Nepal Government for formal agreements with DPs?

Finance Ministers

Project Implementation Unit Head

Foreign Development Partner Representative

Secretary or IECCD chief

International Economic Cooperation Coordination Division of Ministry of Finance

RishiRamChaliseM2C1#

102

1.00

At which level of government is the PLMBIS system used?

Local

Federal

Regional

Provincial

RishiRamChaliseM2C1

103

How many categories of fiscal equalization grants are fixed by NNRFC?

One

Four

Three

Two

Fiscal equalization grant is fixed by NNRFC in three categories such as minimum, formula based and performance based fiscal equalization grants.

RishiRamChaliseM2C1

104

Who implements their own strategy or periodic plan through annual budgets in Nepal?

Cooperatives

Ministries and Constitutional bodies

International entities

Private sectors

RishiRamChaliseM2C1

105

What is the classification of Function of Government (COFOG) used for?

Balance sheet items

Stock and cash flows

Classifying government functions

Organizational changes

701 General Public Service, 702 Defense, 703 Public Security and Peace, 704, Economic Affair, 705 Environment Protection, 706 Housing and Community Facilities, 707 Health, 708 Recreational, Culture and Religion, 709 Education, 710 Social security

RishiRamChaliseM2C1#

106

1.00

What is the practice of providing fiscal risk statement in Nepal?

For revenue target

For budget credibility

For internal use

For public disclosure

Transparency is maintained through public disclosure of the budget information, Annual budget is published online with required data for public disclosure. Ideally an annual budget document should include macro fiscal information, budget data and outturns and budgetary explanation and fiscal risk. In case of Nepal, the practice of providing fiscal risk statement has not yet been started, however they are drafted for internal use

RishiRamChaliseM2C1#

107

1.00

What should Local Governments prioritize during planning?

Economic development and poverty alleviation

Productive and obtaining return quickly

Living standard, income and employment, Public participation, volunteer mobilization, and cost-effective

All of the above

RishiRamChaliseM2C1

108

What should be considered while incurring expenditure?

Regularity

Efficiency and Effectiveness

Economy

All of the above

RishiRamChaliseM2C1

109

What happens if a spending unit spends more amount than the reimbursement taken from designated account?

Request reimbursement rest amount to government treasury only

Request both replenishments to designated account and reimbursement rest amount to government treasury

Request replenishments to designated account only

Do nothing

When a spending unit spends more than the amount reimbursed from a designated account, it implies that the expenditures have exceeded the initially allocated funds. Here’s the explanation for why the correct course of action is to request both replenishments to the designated account and the reimbursement of the rest amount to the government treasury: Request Replenishments to the Designated Account: This ensures that the designated account is adequately funded for future expenditures. It helps maintain the account balance at the necessary level for ongoing or future financial activities. Request Reimbursement of the Rest Amount to the Government Treasury: Since the spending unit has already spent more than the reimbursed amount, they need to ensure that the excess expenditure is accounted for. By requesting reimbursement to the government treasury, they ensure that the extra funds they spent are officially recorded and reimbursed, thereby aligning their accounts with the actual expenditures.

RishiRamChaliseM2C1#

110

1.00

Which of the following budget approaches has the highest autonomy to spend and responsibility for service delivery?

Beyond budgeting

Performance budget

Line-item budget

Zero based budget

RishiRamChaliseM2C1

111

How is the amount of conditional grants fixed?

By the recipient

By the federal government

As per the recommendation of NNRFC

Based on foreign aid

Conditional Grants (ससर्त अनदुान): The federal government provides conditional grants to subnational governments for fulfilling federal government priority by stipulating certain terms and conditions to be abided by the recipient. Provinces shall transfer conditional grants to the local level of respective provinces. The local level shall abide by the terms and conditions set by Province to utilize the conditional grants. The amount of conditional grants is fixed as per the recommendation of NNRFC. The basis for providing conditional grants is determined by NNRFC. Currently, NNRFC has determined seven basis including grant should be in the sole list of power of respective government, such projects or programs are better to be implemented by sub-national government, foreign aid-based project or program, project or program required for balanced development and to maintain the service level standard by sub-national government. The unspent grant amount at the end of the fiscal year should be refunded back to the Consolidated Fund of the respective government that provided the grant.

RishiRamChaliseM2C1

112

What is the main tool used to execute the periodic plan in Nepal?

Budget calendar

Annual budget

Sectoral policy

Long-term vision

RishiRamChaliseM2C1##

113

1.00

According to the Budget Formulation Guideline, 2075, what does the budget calendar capture?

Timetable for budget formulation, approval, execution, and monitoring

Timetable for budget execution only

Timetable for budget formulation and execution

Timetable for budget approval and monitoring

RishiRamChaliseM2C1

114

When is the budget speech for the provincial government made?

End of Jestha

End of Chaitra

End of Shrawan

1st of Ashad

RishiRamChaliseM2C1##

115

1.00

What is the purpose of activity-based budgeting?

To restrict spending to specific line items

To allow unlimited spending for any activity

To estimate one-time expenditures

To limit the budget to spend for particular activity approved from the parliament

RishiRamChaliseM2C1

116

Who estimates the resources and expenditures for the upcoming three fiscal years?

National Resource Estimation Committee (NREC)

Budget Committee

Central agencies

Ministry of Finance

RishiRamChaliseM2C1

117

What is the government of Nepal aiming to achieve by increasing public investment?

Graduating from LDC by 2026

Reducing infrastructure quality

Decreasing public investment

Increasing public debt

RishiRamChaliseM2C1

118

What does the first digit '1' in the 5-digit economic code for cash flows denote?

Financial asset

Recurrent expenditure

Revenue and grant

Capital expenditure

RishiRamChaliseM2C1#

119

1.00

How many steps are included in the Planning and Budgeting Process at LGs?

Eight

Seven

Six

Five

1 Pre-budget preparation: Projection of income and expenditure submission to federation Obtaining ceiling from Federation and Province End of Poush
2 Resource estimation and budget ceiling determination 10 Baisakh
3 Program selection from settlement/community End of Baisakh
4 Program prioritization from the Wards 15th Jestha
5 Budget and program formulation 5th Asadh
6 The budget and program approved by Executive Committee of LG and presented to Local Assembly 10 Ashadh
7 Approved by the Assembly End of Asadh

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120

What is the deadline for completing LMBIS entry according to the Ministry of Finance?

End of Asad

End of Jestha

End of Chaitra

End of Shrawan

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121

1.00

Who delivers the budget speech in the joint meeting of House of Representative and National Assembly?

President

National Planning Commission

Finance Minister

Ministry of Finance

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122

What is the purpose of federal matching grants distribution?

To build infrastructure

To provide education grants

To support healthcare

To fund social programs

Complementary Grants / Matching Grants (समपूरक अनुदान): NPC has enacted the procedure for federal matching grants distribution in 2077. It is related to building the infrastructure. It has specified sectors to be covered and detailed procedures to select the project and disbursement. Province also provides the grants based on provincial law and matching grants procedure. It is up to 50% of project cost and rest should be borne by the recipient. The unspent grant amount at the end of the fiscal year should be refunded back to the Consolidated Fund of the respective government that provided the grant. समपूरक अनुदान समबन्धी कार्यविधि २०७५

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123

1.00

Which principles of foreign aid mobilization were agreed upon in the Paris declaration (2005)?

Alignment, ownership & Mutual Accountability

Ownership & Mutual Accountability

Harmonization, Managing for results, alignment, ownership and mutual accountability

None of the above

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124

1.00

What Act includes the seven-step process for planning and budgeting at Local Governments?

Provincial Policy Act, 2074(2017)

Local Government Operation Act, 2074(2017)

Federal Ministry Act, 2074(2017)

LG's Plan Act, 2074(2017)

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125

How is the amount of conditional grant determined?

By MOF

On Recommendation of NNRFC

On Recommendation of NNRIC

By parliament

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126

1.00

How are projects or needs identified for foreign aid in Nepal?

By the development partners

By the government officials

By the line ministry and subordinate project implementing units

By the Ministry of Finance

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127

Who provides fiscal equalization grants to subnational government?

NNRFC

Federal government

Province

Local level

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128

How is royalty revenue split among the federal government, provinces, and local levels?

70% federal government, 15% provinces, 15% local levels

40% federal government, 30% provinces, 30% local levels

50% federal government, 25% provinces, 25% local levels

60% federal government, 20% provinces, 20% local levels

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129

1.00

How often does GoN report Public Sector Debt Statistics (PSDS) report to IMF and General Data Dissemination System (GDDS)?

Annually

Monthly

Bi-annually

Quarterly

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130

1.00

What guides the strategic allocation of limited resources in Nepal's budget?

Political priorities

Fiscal policy objective

Target group's need

Budget calendar

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131

1.00

What might happen to a developing country's borrowing after graduation?

Stay the same

Enter into a grant agreement

Gain more concessional borrowing

Lose concessional borrowing

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132

What does GoN aim to ensure through the Debt management strategy?

Prudent level of risk

Highest possible cost financing

High level of risk

Lowest possible cost financing

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133

What is the incremental approach used for in budgeting?

Estimating capital expenditures

Estimating one-time expenditures

Estimating variable expenditures

Estimating recurrent nature of expenditure

Incremental budgeting: This budget approach considers a certain increase in the budget size considering inflation and other factors. In Nepal, many spending units are budgeting many activities based on an incremental approach. Basically, this approach is appropriate to estimate recurrent nature of expenditure

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134

Which schedule of FPFAR, 2077 is recommended for detailed program in LMBIS?

Schedule-1

Schedule-4

Schedule-2

Schedule-3

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135

1.00

What happens to the unspent fiscal equalization grant amount at the end of the fiscal year?

It is refunded back to the federal government

It is distributed among local levels

It is kept by the recipient

It is used for future projects

Unspent fiscal equalization grant iskept by the receipient. Unspent conditional, complementary and special grants are refunded back to the grantor.

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136

1.00

What is the main focus of zero-based budgeting?

Ignoring cost-benefit analysis

Starting from scratch

Analyzing previous budgets

Evaluating current programs

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137

What documents are collected and authorized for spending budget?

Supporting evidences

Receipts

Invoices and bills

All of the above

RishiRamChaliseM2C2

138

How does GoN handle debt servicing for public corporations like Nepal Electricity Authority (NEA) and Civil Aviation Authority of Nepal (CAAN)?

GoN borrows and on-lends funds to public corporations for debt servicing

GoN borrows directly from public corporations

Public corporations handle their own debt servicing

GoN does not handle debt servicing for public corporations

GoN borrows for three tier of government and on lend of borrowed fund for public corporation such as Nepal Electricity Authority (NEA) and airport construction by Civil aviation Authority of Nepal (CAAN) where debt servicing has been made by GoN. GoN can make subsidiary loan agreements with public corporations to collect principal and interest at break even point (BEP) in case of on lend of borrowed funds.

RishiRamChaliseM2C2

139

How many general criteria are used to assess and prioritize project proposals in the MTEF?

Six

Four

Eight

Ten

NPC's guideline provides procedures to assess and prioritize project proposals in terms of six general criteria such as (1) contributing to the economic growth of current year, (2) support in achieving SDG, participation, (3) contribution to the regional development, social and gender mainstreaming, (4) status of preparatory works and completion time and two specific criteria including (5) contribution to the sectoral goal and objective and (6) supporting to the sectoral SDG of prioritization for linking MTEF with strategic plans.

RishiRamChaliseM2C2

140

What are the three broad classifications of budget?

President, Defense, Health

Taxes, Grants, Liabilities

Revenue, Expenditure, Assets

Recurrent, Capital, Financing

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141

What does a 7-digit code assigned to balance sheet items represent?

Financial assets only

Non-financial assets only

Non-financial assets, financial assets, and liabilities

Liabilities only

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142

Who approves the final draft of the periodic plan?

National Development Council

Council of Ministers

Steering Committee

NPC

NDC a platform for cooperation and coordination between the central and state governments (is it is unit within NPC or different?)

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143

1.00

What is the guiding document for budget preparation?

Budget Calendar

Budget Formulation Manual

Financial Procedure Act Fiscal Accountability Act

All of the above

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144

How is the revenue from vehicle tax and non-tax shared between the Province and local levels?

70% to Province, 30% to local levels

50% to Province, 50% to local levels

40% to Province, 60% to local levels

60% to Province, 40% to local levels

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145

1.00

How is VAT and Excise Duty revenue shared among federal government, provinces, and local levels?

50% to federal government, 25% to provinces, 25% to local levels

80% to federal government, 10% to provinces, 10% to local levels

60% to federal government, 40% to provinces

70% to federal government, 15% to provinces, rest to local levels

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146

1.00

What does expenditure outturn reflect?

Approved budget

Ability of the government to execute

Revenue target

Virement in budget

Expenditure outturn refers to the actual amount of money spent by a government or organization during a specific period, compared to the budgeted or planned expenditure for that period. It represents the final or actual spending outcomes, often analyzed at the end of a fiscal year or reporting period.

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147

What tasks the Cash planning committee does not have to do for better cash forecasting?

Reviewing current needs outside the cash flow plan and reporting to higher authorities

Forecasting daily inflow and outflow

Coordinating, collecting and verifying data on government revenues and expenditure forecasts

Investing surplus cash in liquid instruments

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148

Who prepare and approve the approach paper for the planning process?

National Development Council prepare & NPC approve

NPC Prepares and Steering committee approve

Steering Committee prepare & NPC Approve

Steering Committee Prepares & Council of Ministers Approve

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149

1.00

Who is mainly responsible for formulating the national periodic plan?

Private sector

Steering Committee

NPC

NDC

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150

What software systems are integrated with each other in budget execution?

LMBIS, TSA, and CGAS

LMBIS and CGAS

CGAS and TSA

RIMS, LMBIS and TSA

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151

1.00

Who authorizes the expenditures in the Offices of Government Bodies?

National Planning Commission

Secretary

Chief of the Office

Ministers

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152

1.00

What is the procedure for incurring expenditure?

Checking budget availability

Collecting need and demand

Ensuring plan/project approval

All of the above

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153

Who monitors and evaluates the budget periodically?

Parliament & OAG

NPC

MOF

All of Above

RishiRamChaliseM2C2

154

Which office is responsible for recording loan liability according to FPFAR 2077 rule 20(2)?

FCGO

PDMO

MoF

NRB

RishiRamChaliseM2C2

155

When is the budget and program approved by the Executive Committee of LG and presented to the Local Assembly?

End of Baisakh

10th Jestha

10th Ashadh

End of Asadh

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156

1.00

What is used to issue payment order while spending the budget?

MoF

TSA

CGAS

LMBIS

Through CGAS, government offices prepare payment orders and forward it through the system to the TSA. DTCO/PTCO/PTCU processes payment orders received in TSA and makes payment releases on behalf of government offices mostly through EFT to beneficiary's bank accounts and in some cases through issuing cheques.

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157

1.00

What is the purpose of the Medium Term Expenditure Framework (MTEF)?

To set out resource envelopes for the upcoming fiscal year

To make the budget more reliable and predictable

To align the budget with the periodic plan

To provide estimates of expenditure for the budget year only

A Medium–Term Expenditure Framework (MTEF) is a dynamic tool for managing public expenditures that provides a three-year framework to determine the available resources and the allocation of the resources in line with government priorities.

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158

1.00

What is the optimal debt to GDP ratio for the economy similar to Nepal?

Below 45%

Around 50%

Around 90%

Around 70%

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159

What happens to the revenue collected from entertainment tax and advertisement tax by local levels?

50% to local levels, 50% to Province

40% to local levels, 60% to Province

70% to local levels, 30% to Province

60% to local levels, 40% to Province

Local levels levy and collect entertainment tax and advertisement tax and deposit into its Divisible Fund. Then, 60% is credited to its own Consolidated Fund and 40% is provided to the respective province's Consolidated Fund

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160

1.00

When is the agreement between Nepal and a Development Partner considered effective?

Upon signing by the Secretary

After project implementation

After negotiation committee approval

When Ministry of Law endorses it

After discussion with stakeholders, PAD and other legal documents such as financing (loan and grant) agreement or loan agreement or grant agreement should be ready for formal negotiation. Government of Nepal decides the negotiation committees often chaired by IECCD chief and representatives from Ministry of Law, FCGO, PDMO and concerned line ministry along with project implementation units to negotiate the terms and conditions stipulated in the agreement. The negotiation committee discusses with DP's team in the meeting and finalizes the legal document along with negotiation minutes. Then, the Government of Nepal decides to accept the foreign aid and mandates either the Secretary or IECCD chief to sign the agreement with DP. The agreement is effective when the Ministry of Law endorses it conditions are met.

RishiRamChaliseM2C2

161

What is the difference between the redemption basis of external loans and domestic debt securities?

Both external loans and domestic debt securities have one-time payment redemption

Both external loans and domestic debt securities have instalment basis redemption

External loans have one-time payment redemption, while domestic debt securities have instalment basis redemption

External loans have instalment basis redemption, while domestic debt securities have one-time payment redemption

Internal borrowing by three tier governments is set by NNRFC for each fiscal year. External debt is relatively for a longer period with installment basis redemption whereas domestic debt securities are of shorter period having one-time payment.

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162

Who sets the internal borrowing by three tiers of government each fiscal year?

NRB

MOF

PDCO

NNRFC

The National Natural Resources and Fiscal Commission (NNRFC) is a constitutional body established with the objective of ensuring the just and equitable distribution of natural and fiscal resources among the federal, provincial, and local governments. The Commission determines the detailed basis and modality for the sharing of revenues. It also makes recommendations regarding the distribution of equalization grants. In addition, it prepares the parameters concerning the distribution of conditional grants and recommends the ceiling for internal borrowing and sharing of royalties from natural resources among the three spheres of government.

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163

1.00

What is the difference between planning and a plan?

Planning is ongoing process of creating and refining a plan, while a plan is a tangible document or set of instruction that emerges from that process

Planning is the end product of a plan, while a plan is the process of developing goals

Planning involves thinking and strategizing, while a plan is the result of planning

Planning is the process of setting goals, while a plan is the process of achieving goals

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164

Who is responsible for carrying out virement?

Parliament

Undersecretary

Joint Secretary

Secretary of the Ministry

Virement shows hierarchical control. After virement one line item or activity budget can be transferred to another one based on FPFAA, 2076 and FAFAR. 2077 and each year's Appropriation Act. Virement is to be carried out by the Secretary of the Ministry and in some cases, it is to be done by the Ministry of Finance only

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165

1.00

What approach does the budget ceiling follow according to the Guidelines of NPC and the Ministry of Finance?

Bottom-up approach

Top-down approach

Middle-out approach

Sideways approach

RishiRamChaliseM2C2

166

How many periodic plans has Nepal carried out?

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167

1.00

What does GFSM use the concept of stock and cash flows for?

Income and expenditure

Ministry changes

Budget classification

Accounting and reporting

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168

Who presents the principles and priorities of appropriation bills to the federal Parliament?

Finance Minister

Prime Minister

Ministry of Finance

President

RishiRamChaliseM2C2

169

What is included in the periodic plan?

Only national strategies

Only quantitative targets

Sector-wise plan, macroeconomic framework, monitoring and evaluation

Alignment with international commitment

RishiRamChaliseM2C2

170

What is the purpose of foreign aid for Nepal?

Implement infrastructure projects efficiently

Meet the financing gap for investment in capital formation

Facilitate civil unrest

Provide technical assistance to developed countries

RishiRamChaliseM2C2

171

Budget approval is ……………….

presidential approval

cabinet approval

parliamentary approval

MoF and NPC approval

RishiRamChaliseM2C2

172

Under what modality of disbursement does the spending unit spend money first and then get reimbursed by the Development Partner?

Special account basis

Advance cash

Designated account basis

Reimbursement basis

Advance Cash: The spending unit can only use project funds, including government counter funds, after the development partner disburses the foreign aid.
Reimbursement Basis: The spending unit spends from the government treasury, then submits expenditure documents to the development partner for reimbursement, contingent on eligibility.
Designated Account/Special Account: The spending unit initially spends from the treasury, reimburses from designated accounts up to a limit, and submits documents to the development partner for account replenishment and additional treasury reimbursement if overspent.
Direct Payment: Project Coordination Units send withdrawal applications for direct payments by the development partner to suppliers, contractors, or consultants, verified and authorized as per agreement.

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173

1.00

Which framework is usually the major guiding framework for MTEF internationally?

MTRF (Medium-Term Result Frameworks)

MTEF (Medium Term Expenditure Frameworks)

MTBF (Medium Term Budgetary Frameworks)

MTFF (Medium Term Fiscal Framework)

MTEF is also known as a rolling budget due to its nature of rolling for each year. Apart from MTEF there are other frameworks for medium and long-term planning. Medium-Term Result Frameworks (MTRF), Medium Term Fiscal Frameworks (MTFF), and Medium Term Budgetary Frameworks (MTBF) are some of the well-known frameworks. Internationally MTEF is usually driven by MTFF or MTRF. MTFF is the major guiding framework on top of all of them.

RishiRamChaliseM2C3#

174

1.00

What is measured through expenditure outturn and revenue outturn?

Macro fiscal information

Budget credibility

Transparency

Revenue target

RishiRamChaliseM2C3#

175

1.00

What software system is used by the Ministry of Finance for budget preparation?

PLMBIS

LMBIS

ASYCUDA

SuTRA

RishiRamChaliseM2C3

176

Who chairs the National Development Action Committee (NDAC)?

Minister of Development

Minister of Finance

Prime Minister

President

The National Planning Commission also conducts national level progress review meetings generally on a quarterly basis. The National Development Action Committee (NDAC), chaired by the Prime Minister is also responsible to monitor the budget and program.

RishiRamChaliseM2C3#*

177

1.00

How is net debt calculated?

Gross debt divided by financial assets

Gross debt multiplied by financial assets

Gross debt minus financial assets

Gross debt plus financial assets

RishiRamChaliseM2C3

178

What is not the basis for the formulation of the periodic plan in Nepal?

Budget cycle

Constitution

International scenario

Sectoral policy

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179

1.00

What are the three categories of fiscal equalization grants fixed by NNRFC?

Start, Middle, End

Minimum, Formula based, Performance based

Basic, Advanced, Expert

Low, Medium, High

RishiRamChaliseM2C3

180

What is the purpose of a project administration memorandum agreed between government and development partner?

To specify financial disbursement modalities

To outline project milestones

To define project objectives

To establish project implementation units

RishiRamChaliseM2C3

181

What is the main characteristic of line-item budgeting?

Allows unlimited spending for any activity

Restricted to spend the budget for another line-item related expenditure

Based on incremental approach

Limits the budget to spend for particular activity approved from the parliament

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182

What is the main characteristic of Activity Based budgeting?

Allows unlimited spending for any activity

Restricted to spend the budget for another line-item related expenditure

Based on incremental approach

Limits the budget to spend for particular activity approved from the parliament

RishiRamChaliseM2C3

183

Which of the following budgeting tool follows input control Budgeting Approach?

Zero Based Budgeting

Line item based budgeting

Activity Based Budgeting

Rolling Budgeting

Activity based budgeting: Activity-based budgeting also limits the budget to spend for particular activity approved from the parliament. For example, the budget item is remuneration (21111), under this budget item, the activity is undersecretary's salary (1.1.1.4). Likewise, various activities can be defined in one budget item. It is an input control budgeting approach. Virement can be done following the virement guidelines issued by MoF. Virement shows hierarchical control. After virement one line item or activity budget can be transferred to another one based on FPFAA, 2076 and FAFAR. 2077 and each year's Appropriation Act. Virement is to be carried out by the Secretary of the Ministry and in some cases, it is to be done by the Ministry of Finance only.

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184

1.00

What undermines the credibility of a budget? A) Less variation between approved budget and expenditure outturn B) Virement in budget C) More revenue outturn than revenue target D) Contingency budget

A, D

A, B, C

B, D

Ref. Para 2.11

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185

1.00

What is the purpose of the Single Tax Administration concept?

To increase tax rates

To eliminate taxes

To reduce tax collection

To make tax administration economical, effective, and efficient

RishiRamChaliseM2C3

186

What is the main characteristic of beyond budgeting approach?

Constantly changing goals

Strict budget control

Traditional bureaucratic model

Flexibility and responsibility for spending

RishiRamChaliseM2C3

187

What is the difference between non-votable expenditures and votable expenditures?

Non-votable expenditures are directly spent through treasury accounts, while votable expenditures are not.

Non-votable expenditures require parliamentary approval, while votable expenditures do not.

Non-votable expenditures can be spent without vote, while votable expenditures require parliamentary approval.

Non-votable expenditures are related to fixed assets, while votable expenditures are related to current assets.

RishiRamChaliseM2C3

188

What is the purpose of the Appropriation Act in the budget approval process?

Pass budget laws

Approve fiscal transfer estimates

Authorize borrowing

Authorize taxation

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189

1.00

Which is correct related to the Accounting Format used by GON?

Accounting formats are developed by OAG

Accounting forms are implemented by OAG

Accounting formats are prepared by FCGO and approved by OAG

Accounting forms are prepared by OAG and approved by FCGO

RishiRamChaliseM2C3

190

As per IMF’s GFS manual which is correct?

Budget code is denoted by 9 Digit where 2 at the End denotes Recurrent Expenditure

Budget code is denoted by 9 Digit where 2 at the End denotes Recurrent Expenditure, 4 Capital Expenditure and 5 Financing

Budget code is denoted by 9 Digit where 3 at the End denotes Recurrent Expenditure, 4 Capital Expenditure and 5 Financing

Budget code is denoted by 9 Digit where 3 at the End denotes Capital Expenditure, 4 Recurrent Expenditure and 5 Financing

RishiRamChaliseM2C3#*

191

1.00

Which entity conducts regular monitoring and evaluation of programs and service delivery?

Concerned departments

Ministers

National Planning Commission

Secretary

RishiRamChaliseM2C3#

192

1.00

1) Which one of the following is not step of budget execution?

Authorization

Apportionment

Accounting

Allocation

BookM3C1#*

193

1.00

2) Which of the following legal document does not guide government accounting?

Financial procedure and fiscal accountability act

Budget preparation guidelines

Nepal public sector accounting standard

Government accounting manual

BookM3C1

194

3) Government accounting of local government is mainly guided by?

Financial Procedure and Fiscal Responsibility Act (FPFRA), 2076

Intergovernmental Fiscal Arrangement Act, 2074

Local Government Operations, Act 2074

Financial Procedure and Fiscal Responsibility Regulation, 2077

BookM3C1

195

4) Government assets are accounted on which of the following basis of accounting

Accrual accounting

Cash based accounting

Modified cash-based accounting

Modified Accrual based accounting

BookM3C1#*

196

1.00

5) Government accounting has two operational level select the appropriate combination: 1. Central level accounting 2. Treasury accounting 3. Subnational accounting 4. Operational accounting

1,3

2,4

1,4

3,4

BookM3C1##

197

1.00

6) Charts of accounts is designed based on

Financial Procedure and Fiscal Responsibility Act (FPFRA), 2076

Nepal public sector accounting standard

Government Accounting manual

Government Finance Statistics manual, 2014

Note: Correct answer given was F, which isn't an option

BookM3C1#

198

1.00

7) Which one of the following is the expenditure code

11121

21121

41121

51121

BookM3C1

199

8) Accounting is done at which code select the correct one

21110

21100

21112

21000

BookM3C1

200

9) Accounting format is developed by which of the following agency

Office of Auditor the General

Financial comptroller General Office

Financial Controller General Office

Ministry of Finance

BookM3C1

201

10) Treasury Single Account is used in which one of the following processes.

Budget allocation

Budget virements

Treasury management

Financial reporting

BookM3C1

202

11) Local government bank account starts from which of the following naming convention

Ka 1.1

Kha 1.1

Gaa 1.1

Gha 1.1

BookM3C1

203

12) Which one is not a major government accounting branch.

Revenue accounting

Expenditure accounting

Deposit (Dharauti) Accounting

Assets accounting

BookM3C1

204

13) Operationally which of the basis of accounting is followed by Nepal government

Cash based accounting

Modified cash-based accounting

Modified Accrual Accounting

Full Accrual accounting

BookM3C1

205

14) Out of the following, which one is not classified as revenue type.

Lagati

Haswali

Terij

Nagadi

BookM3C1

206

15) Which one of the OAG form initiates payment processing at DTCO?

General Voucher

Payment order

Bank Cheque

Bank Voucher

BookM3C1

207

16) Budget freeze means

No virement can be made in the budget

Virement can be made but source adjustment cannot be made

Expenditure cannot be made

Budget release cannot be done but expenditure can be processed

BookM3C1

208

17) Nepal Public Sector Accounting Standard is applicable for which of the agencies

All three tiers of government

Budgetary entities

State-owned enterprise not implementing NFRS

All of the above

BookM3C1

209

18) Project accounting and reporting is guided by

OAG accounting format

Nepal public sector accounting standard

Donor accounting guidelines

All of the above

BookM3C1

210

19) Accountability is defined by which one of the following Act?

Financial Procedure and Fiscal Responsibility Act (FPFRA), 2076

Intergovernmental Fiscal Arrangement Act, 2074

Local Government Operations, Act 2074

All of the above

BookM3C1

211

20) Consolidation of financial statement of all three tiers of government is to be done by

Ministry of finance

District treasury controller office

Financial Comptroller General Office

Office of Auditor the General

BookM3C1

212

21) Which of the following IT system is the integrated system of all government systems?

TSA

CGAS

IFMIS

SUTRA

BookM3C1

213

22) Accrual accounting endorses which one of the following concepts

Cash balance concept

Total economic resource concept

Social accountability concept

Fiscal sustainability concept

BookM3C1

214

The financing arrangement in which the related DP pays the project expenses before the loan or grant have been approved and becomes effective is known as:

a. Replenishment

b. Retroactive Financing

c. Direct Payment

d. Cash Loan

RabinBhattaraiM3C1

215

Which of the following is NOT a component of the Government Accounting System in Nepal?

a. Budgetary Accounting

b. Financial Reporting

c. Performance Auditing

d. Market Analysis

RabinBhattaraiM3C1

216

What is the significance of the “Consolidated Fund” in government accounting system?

a. It is used to manage government loans and advances.

b. It serves as the main fund into which all government revenues are deposited and from which all government expenditures are made.

c. It handles the pension funds of government employees.

d. It is a special fund for emergency expenses only.

RabinBhattaraiM3C1

217

What roles does PAC play in GON accounting system?

a. It audits government agencies.

b. It oversees the execution of the national budget.

c. It reviews audit reports submitted by the Office of the Auditor General and ensures accountability.

d. It manages the payroll system for government employees.

RabinBhattaraiM3C1

218

If any confusion arises as to accounting forms/formats, economic codes or classification, which entity is mandated to clear such confusion:

a. OAG

b. FCGO

c. ASB

d. ICAN

RabinBhattaraiM3C1

219

The classification and accounting of income and expenditure of three tiers is approved by:

a. ICAN

b. FCGO

c. OAG

d. MOFA

Intergovernmental Fiscal Arrangement Act, 2074 The classification and accounting of income and expenditure of three tiers should be as approved by the Auditor General on the recommendation of FCGO. (Section 31)

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What mechanism does GON use to monitor and control its budgetary expenditures?

a. Public Expenditure and Financial Accountability (PEFA) framework

b. International Financial Reporting Standards (IFRS)

c. Generally Accepted Accounting Principles (GAAP)

d. International Public Sector Accounting Standards (IPSAS)

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221

What is the primary duty of the Financial Comptroller General Office concerning the Federal Consolidated Fund?

a. To audit all financial transactions of the Government of Nepal.

b. To keep up-to-date accounts of the Federal Consolidated Fund and prepare an annual report.

c. To oversee internal audits and provide suggestions for economic discipline.

d. To classify projects to be carried out by the Federal, Province, and Local Levels.

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What is required for the release of the budget following the commencement of the Appropriation Act or a Vote on Accounts Act?

a. Approval from the Planning Commission.

b. A recommendation from the Internal Control and Audit Committee.

c. Amounts specified in the Schedule of the Appropriation Act based on approved budget lines and annual programs.

d. A detailed economic survey submitted by the Minister for Finance.

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223

1.00

Under the IMF-based Chart of Accounts, how are expenditures classified in the Government of Nepal?

a. By administrative unit, economic category, and geographic location

b. By source of funding and donor agency

c. By functional area, economic category, and program/project

d. By department and fiscal year

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224

Which of the following is a characteristic feature of the IMF-based Chart of Accounts in Nepal?

a. It separates financial transactions based on donor agencies

b. It unifies the classification of financial data across all levels of government

c. It excludes off-budget financial transactions

d. It limits the scope of financial reporting to annual budgets only

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225

Public debt and investment accounting and reporting is carried out at PDMO by using:

a. DOMS

b. PAMS

c. SuTRA

d. CGAS

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226

1.00

What is the timeline for submission of Consolidated Financial Statement of GON by FCGO to OAG?

a. By Kartik end

b. By Kartik 15

c. By Ashwin end

d. By Ashwin 15

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227

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OAG form 270-5 is related to which report?

a. Annual Financial Statement of Consolidated Fund

b. Annual Statement of Divisible Fund

c. Annual Report on Receipts and Payments (Budgetary entities)

d. Annual Report on Receipts and Payments (Extra-Budgetary entities)

Intergovernmental Fiscal Arrangement Act, 2074 - The classification and accounting of income and expenditure of three tiers should be as approved by the Auditor General on the recommendation of FCGO. (Section 31)

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1.00

GBEs apply which standard for preparation and presentation of their financial statements?

a. NPSAS

b. NFRS

c. GAAP

d. IPSAS

NPSAS is designed to apply to the public sector entities that are responsible for the delivery of services to benefit the public, mainly finance their activities, directly or indirectly, using taxes and or transfer from level or government, social contributions, debt or fees; and do not have a primary objective to make profits. However, it does not apply to Government Business Enterprises (GBEs) which are profit-oriented and prepare the financial statements under Nepal Accounting Standards (NASs) and Nepal Financial Reporting Standards (NFRSs).

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When GON issued NPSAS revised version, based on IPSAS 2017

a. 2079.08.20

b. 2078.08.20

c. 2078.04.01

d. 2079.04.01

The Government of Nepal has issued Nepal Public Sector Accounting Standards revised version, which is based on International Public Sector Accounting Standards (IPSAS), 2017 (Cash based) on 2079.08.20 (6 December, 2022). Public sector entities in three tiers of government should use NPSAS for preparing General Purpose Financial Statement. The standards prescribe how general-purpose financial statements are to be presented under the cash basis of accounting. This standard applies equally to the financial statements of an individual entity and to financial statements of a reporting entity that comprises a controlling entity and one or more controlled entities.

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230

1.00

How many forms and formats are in use for accounting and reporting of revenue?

a. 20

b. 15

c. 11

d. 21

There are altogether twenty forms and formats for accounting and reporting of revenue. Not all the forms and Formats are applicable to all offices. For example, central level forms are only used by central level entities. Likewise, forms related to recording revenue arrears and receivables are only used by offices collecting Lagati revenue. However, forms for primary books of entry, General ledger of revenue receipt, Bank/Cash Book of Revenue, Statement of Monthly Revenue Collection, Financial statement of revenue etc. are used by all revenue collecting entities.

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231

1.00

Which statement is not true with reference to revenue accounting

a. Accrued revenue is not accounted for

b. Accrued revenue is not accounted but recorded for reporting purposes

c. Advance revenue is not accounted for but recorded for reporting purposes

d. Advance revenue is accounted and reported accordingly

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232

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What is the primary objective of Activity-Based Accounting?

a. To allocate costs based on traditional overhead rates

b. To identify activities and assign costs based on their actual consumption of resources

c. To simplify the budgeting process

d. To reduce the number of cost drivers

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233

The functions of government based on COFOG is mapped at activity level. How many sectors are there in COFOG?

a. 10

b. 12

c. 20

d. 15

Presently there are 10 sectors in COFOG. Codes starting from 701 General Public Service, 702 Defense, 703 Public Security and Peace, 704, Economic Affair, 705 Environment Protection, 706 Housing and Community Facilities, 707 Health, 708 Recreational, Culture and Religion, 709 Education, 710 Social security.

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234

1.00

Depreciation on immovable properties of GON are accounted based on:

a. SLM method

b. WDV Method

c. Method not specified

d. None of the above

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235

Generally, the payment period of a cheque issued from a government fund shall be of:

a. 30 days

b. 15 days

c. 6 months

d. Not specified

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236

1.00

As per Section 76 of Local Government Operations Act 2074, LGs should maintain accounts based on:

a. AG approved formats on recommendation of FCGO

b. Can develop independent accounting forms and formats

c. Not specifically mentioned

d. Not required to maintain accounts

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237

Government accounting is generally understood as:

a. Appropriation accounting

b. Fund accounting

c. Budgetary accounting

d. Financial Reporting

In practice, government accounting is generally understood as appropriation accounting but it has wider coverage than the appropriation accounting.

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238

1.00

Under the Financial Procedure and Fiscal Accountability Act 2076, which of the following statements regarding the roles and responsibilities of the Financial Comptroller General Office (FCGO) is correct?

a. The FCGO is responsible for preparing the annual national budget and presenting it to the Parliament.

b. The FCGO ensures that all government financial transactions are conducted according to prescribed accounting standards and procedures, and it monitors the implementation of the budget.

c. The FCGO has the authority to approve supplementary appropriations without parliamentary consent.

d. The FCGO is responsible for collecting taxes and other revenues on behalf of the government.

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239

1.00

Accounting of government transactions is done in

Cash basis double entry system

Cash basis single entry system

Modified Cash Basis

Modified Accrual Basis

The accounts of government transactions should be maintained based on the principle of a cash based double entry booking system. (Rule 56 of FPFR)

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Provision of basis for maintaining accounting of government is mentioned in

Government Transactions Directive 2019

Local Government Operation Act 2017

Inter Government Fiscal Arrangement Act 2017

Financial Procedure and Fiscal Accountability Rules 2077

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241

Body responsible for preparation of Consolidated Financial Statement of all 3 tiers of government and submit to Ministry of Finance is

OAG

FCGO

Concerned local levels or province or federal offices

Concerned DTCOs or PTCOs

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242

Which of those is true

FCGO has sole responsibility in preparation and implementation of accounting forms and formats

OAG has sole responsibility in preparation and implementation of accounting forms and formats

OAG prepares accounting forms and formats to be approved by FCGO for implementation

FCGO prepares accounting forms and formats to be approved by OAG for implementation

MilanRijalM3C2

243

Responsibility to maintain accounts of transactions of all government offices relies with

Concerned government offices

Concerned DTCO

Concerned PTCO

FCGO

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244

1.00

Which of these is false

Province government can provide "Bittiya Samanikaran" grant to local level as per Province laws.

Province government can provide "Bisesh" grant to local level as per Province laws.

Province government can provide "Samapurak" grant to local level as per Province laws.

Province government can provide "Sa-sarta" grant to local level as per Province laws.

Sec 8,9,10,11 of Inter Government Financial Arrangement Act 2074

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245

Which of these grants is meant to be used for expenditures requirements

Bisesh

Samapurak

Bittiya Samanikaran

Sa-sarta

Special Grants (वि शषे अनदुान): Special grants are related to specific projects designed to render basic services such as education, health and drinking water, balanced development of inter-province and inter-local level and uplift discriminated and deprived communities operated by province or local level. Constitution, Inter- governmental Fiscal Arrangement Act, 2074 and Special Grant Procedure 2077 are relevant legal basis to proceed special grants from federal government to subnational government whereas provincial law and procedure related to special grant is to be followed for special grants from province to local level. The unspent grant amount at the end of the fiscal year should be refunded back to the Consolidated Fund of the respective government that provided the grant. वि शषे अनदुान समबन्धी कार्यविर्यविधि २०७५

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1.00

Government investments are recorded and reported in

Current market price on date of reporting

Fair value on date of reporting

Historical price

Historical price adjusted to impairment

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247

Payment obligation created as a result of previous year activities are recognized as

Commitment liability

Prior period errors

Prior period omissions

Prior period obligation

● Payment obligations created as a result of previous year activities are recognized as commitment liability and included in the notes to account.

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1.00

Movable and immovable properties are recorded as

Assets at historical price

Assets or Inventory based on nature, at Historical price

Assets at historical price and subsequently deducting depreciation

Expenditure at historical price

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1.00

Items whose unit price doesn’t exceed Rs. 5000 to be treated as

Durables

Consumables

Expenses

Asset if it lasts more than 1 year and expense if less than a year

● Consumables: goods and properties which cannot be reused and which do not last more than one year or whose unit price does not exceed five thousand rupees. ● Durables: goods and properties that last more than a year or whose unit price does exceed more than five thousand rupees. However, the chief of the office may record such goods and properties that cannot be reused, but whose unit price is more than five thousand rupees as consumables by specifying their nature and condition of use

MilanRijalM3C2

250

Payment period of cheque issued from government fund shall be

6 months

3 months

15 days

45 days

MilanRijalM3C2

251

Economic codes are of how many digits

MilanRijalM3C2#

252

1.00

Economic codes with three "0" at end is

Base Head

Main Head

Head

Sub - Head

Economic code is of 5 digits (codes having 3 zeros at the end is base head, codes having 2 zeros at the end is main head, codes having 1 zero at the end is head and other codes not having any zero at the end are called sub-head. In practice, sub-heads are also called heads.

MilanRijalM3C2#

253

1.00

Economic codes with two "0" at end is

Base Head

Main Head

Head

Sub - Head

MilanRijalM3C2##

254

1.00

Economic codes with one "0" at end is

Base Head

Main Head

Head

Sub - Head

MilanRijalM3C2#

255

1.00

Economic codes with no "0" at end is

Base Head

Main Head

Head

Sub - Head

MilanRijalM3C2#

256

1.00

Accounting can be done at ….. Code

21112

21000

21100

21110

MilanRijalM3C2

257

Which of the heads can be used for booking income or expenses

Base Head

Main Head

Head

Sub - Head

MilanRijalM3C2

258

Use of base head, main head and heads are for

Expense recording

Income Recording

Consolidation

Advances recording

MilanRijalM3C2

259

How many digit are donor codes

Donor codes are six-digit codes (the code for the World Bank, for example, is 210301), while the code for the modality is a two-digit code (the code for a reimbursable grant, for example, is 13). Hence, an example of a complete code string is: 370-804-4-22411-74-222701-13

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260

Economic codes beginning with 1 is for

Revenue items

Recurring Expenditure items

Capital Expenditure

Liabilities

First digit 1 denotes revenue and grant, 2 denotes recurrent expenditure, 31 denotes capital expenditure, 32 denotes financial asset, 33 denotes financial liability

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261

1.00

Economic codes beginning with 2 is for

Revenue items

Recurring Expenditure items

Capital Expenditure

Liabilities

First digit 1 denotes revenue and grant, 2 denotes recurrent expenditure, 31 denotes capital expenditure, 32 denotes financial asset, 33 denotes financial liability

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262

1.00

Economic codes beginning with 31 is for

Revenue items

Recurring Expenditure items

Capital Expenditure

Liabilities

First digit 1 denotes revenue and grant, 2 denotes recurrent expenditure, 31 denotes capital expenditure, 32 denotes financial asset, 33 denotes financial liability

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263

1.00

Economic codes beginning with 32 is for

Revenue items

Recurring Expenditure items

Capital Expenditure

Other Assets

First digit 1 denotes revenue and grant, 2 denotes recurrent expenditure, 31 denotes capital expenditure, 32 denotes financial asset, 33 denotes financial liability

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264

1.00

Economic codes beginning with 33 is for

Revenue items

Recurring Expenditure items

Capital Expenditure

Liabilities

First digit 1 denotes revenue and grant, 2 denotes recurrent expenditure, 31 denotes capital expenditure, 32 denotes financial asset, 33 denotes financial liability

MilanRijalM3C2#*

265

1.00

Economic codes beginning with 6 is for

Stock of assets and liabilities

Recurring Expenditure items

Capital Expenditure

Liabilities

MilanRijalM3C2

266

Which of these is an economic code for recurring expenses

11211

11121

21121

41411

MilanRijalM3C2

267

Budget heads of GON comprises ….. Digits

MilanRijalM3C2#

268

1.00

Last digit 3 at the end of budget head denotes

Recurrent expenditure

Capital expenditure

Financing

Province 3

As per the Constitution, OAG has a mandate to approve the accounting formats prepared by FCGO. The Government of Nepal has implemented Integrated Economic Codes and Classification and Interpretation, 2074 (with second revision) for three tiers of government based on IMF's Government Finance Statistics Manual (GFSM), 2014. We have a broad classification of budget into recurrent, capital and financing budgets denoted by 3, 4 and 5 at the end of 9-digit budget codes such as 305010143 (District Treasury Controller office recurrent budget), 312001064 for Prime Minister Agriculture Modernization Project capital budget and 501081045 for Hydroelectricity Strengthening Project-financing budget. GoN has organizational classification such as 101 for President to 602 (MoF contingency). Commonly these economic classifications are known as Charts of Accounts.

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269

1.00

Last digit 4 at the end of budget head denotes

Recurrent expenditure

Capital expenditure

Financing

Province 4

MilanRijalM3C2##

270

1.00

Last digit 5 at the end of budget head denotes

Recurrent expenditure

Capital expenditure

Financing

Province 5

MilanRijalM3C2##*

271

1.00

Currently there are …. Number of Ma.Le.Pa. Faram (OAG Forms) used for accounting and reporting of financial transactions.

182

183

184

185

Presently, there are 184 forms and formats that are categorized as per the nature of transactions.

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272

1.00

Treasury Single Account [TSA] is implemented in

Income accounts

Expenditure accounts

Financing accounts

All of the above

The implementation of TSA varies from country to country, in case of Nepal TSA is implemented in expenditure accounts. Zero balance accounts are maintained at various payment processing banks, each day these bank accounts make payment as per the request of DTCOs. At the end of the day the total released amounts are replenished from central treasury accounts. The next day it again starts with zero balance, so these processes continue every day. TSA has minimized the requirement of maintaining bank accounts by every agency and substantially reducing the operation cost for the government. In the TSA every office does not have a bank account. Only one account is operated by DTCO. The departments and other entities incurred expenditure and submitted payment orders to the DTCOs and DTCO makes payment on behalf of those departments and entities from the TSA after verifying appropriate authorization and documentation from the department and entities. However, the expenditures are reported in the accounts of respective departments and entities.

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TSA is based on …........ concept.

Reducing Balance

Petty imprest

Zero balance

Prepaid balance

MilanRijalM3C2

274

How is amount replenished to TSA at the end of the day

From Central Treasury Accounts

From funds collected by NRB

From OD balance facility from commercial banks

None of those

MilanRijalM3C2

275

Payment made by DTCOs from TSA on behalf of concerned government departments is reported in the accounts of

Concerned DTCO

Concerned government department or entities

MilanRijalM3C2

276

Usage of bank accounts by GON [all 3 tiers of government] is governed by

Government Transactions Directive 2076

Government Accounting Manual 2076

Inter Government Fiscal Arrangement Act 2017

Financial Procedure and Fiscal Accountability Rules 2077

MilanRijalM3C2#*

277

1.00

"KA" series bank accounts are associated with

Federal Government

Province Government

Local Government

Donor Funds

MilanRijalM3C2

278

"KHA" series bank accounts are associated with

Federal Government

Province Government

Local Government

Donor Funds

MilanRijalM3C2

279

"GA" series bank accounts are associated with

Federal Government

Province Government

Local Government

Donor Funds

MilanRijalM3C2

280

"KA-1" bank account denotes

Federal consolidated fund

Federal expenditure account

Federal emergency fund

Federal divisible fund account

"KA-1 Federal consolidated fund
"KA-2 Federal expenditure account
"KA-3 Federal emergency fund
"KA-4 Federal divisible fund account
"KA-5 Rescue and Relief Fund Account
"KA-7 Foreign assistance income account
"KA-8 Federal Fund Adjustment account

MilanRijalM3C2#

281

1.00

"KA-2" bank account denotes

Federal consolidated fund

Federal expenditure account

Federal emergency fund

Federal divisible fund account

MilanRijalM3C2##

282

1.00

"KA-3" bank account denotes

Federal consolidated fund

Federal expenditure account

Federal emergency fund

Federal divisible fund account

MilanRijalM3C2##*

283

1.00

"KA-4" bank account denotes

Federal consolidated fund

Federal expenditure account

Federal emergency fund

Federal divisible fund account

MilanRijalM3C2##

284

1.00

"KA-5" bank account denotes

Federal consolidated fund

Federal expenditure account

Federal emergency fund

Rescue and Relief Fund Account

MilanRijalM3C2##

285

1.00

"KA-7" bank account denotes

Foreign assistance income account

Federal expenditure account

Federal emergency fund

Rescue and Relief Fund Account

MilanRijalM3C2##

286

1.00

"KA-8" bank account denotes

Foreign assistance income account

Federal expenditure account

Federal Fund Adjustment account

Rescue and Relief Fund Account

MilanRijalM3C2##*

287

1.00

Preparation of vouchers requires

A) Identification of activity for budgetary control

B) Identification of economic code for accounting purpose

C) Both of those a and b

D) None of those

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288

What are 3 major branches of accounting in government accounting

1. Revenue 2. Expenditure 3. Deposit

1. Grant Revenue 2. Tax Revenue 3. Non Tax Revenue

1. Capital Expenditure 2. Revenue Expenditure 3. Other Assets

1. Assets 2. Liability 3. Capital

MilanRijalM3C2

289

Revenue is classified as

Tax or Non Tax

Haswali

Lagati

All of those

MilanRijalM3C2

290

Income tax is …. Revenue

Lagati

Haswali

MilanRijalM3C2

291

Property tax is ….. Revenue

Lagati

Haswali

MilanRijalM3C2

292

Rent tax is …. Revenue

Lagati

Haswali

MilanRijalM3C3

293

Fines and penalties are

Lagati

Haswali

MilanRijalM3C3#

294

1.00

Service charges are

Lagati

Haswali

MilanRijalM3C3#

295

1.00

When discount is provided on revenue, it is accounted for on …. Basis

Gross

Net

MilanRijalM3C3

296

Normally revenue is accounted for on… basis

Gross

Net

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297

How many OAG forms are there for revenue recording and reporting

S.N	Category	No. of forms
1	Revenue Accounting	20
2	Expenditure accounting and reporting	31
3	NPSAS-based financial statement	1
4	Project Financial Statement	2
5	Budget Implementation	19
6	Inventory Accounting and Assets Management	21
7	Public Works Accounting	15
8	Deposit Accounting	13
9	Debt Accounting	36
10	Investment Accounting	12
11	Audit and Audit Observation	4
12	Internal Control	10
Total		184

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298

1.00

How many OAG forms are there for expenditure recording and reporting

S.N	Category	No. of forms
1	Revenue Accounting	20
2	Expenditure accounting and reporting	31
3	NPSAS-based financial statement	1
4	Project Financial Statement	2
5	Budget Implementation	19
6	Inventory Accounting and Assets Management	21
7	Public Works Accounting	15
8	Deposit Accounting	13
9	Debt Accounting	36
10	Investment Accounting	12
11	Audit and Audit Observation	4
12	Internal Control	10
Total		184

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299

1.00

How many OAG forms are there for NPSAS based financials

S.N	Category	No. of forms
1	Revenue Accounting	20
2	Expenditure accounting and reporting	31
3	NPSAS-based financial statement	1
4	Project Financial Statement	2
5	Budget Implementation	19
6	Inventory Accounting and Assets Management	21
7	Public Works Accounting	15
8	Deposit Accounting	13
9	Debt Accounting	36
10	Investment Accounting	12
11	Audit and Audit Observation	4
12	Internal Control	10
Total		184

MilanRijalM3C3#

300

1.00

How many OAG forms are there for project financial statement

S.N	Category	No. of forms
1	Revenue Accounting	20
2	Expenditure accounting and reporting	31
3	NPSAS-based financial statement	1
4	Project Financial Statement	2
5	Budget Implementation	19
6	Inventory Accounting and Assets Management	21
7	Public Works Accounting	15
8	Deposit Accounting	13
9	Debt Accounting	36
10	Investment Accounting	12
11	Audit and Audit Observation	4
12	Internal Control	10
Total		184

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301

1.00

How many OAG forms are there for deposit accounting and reporting

S.N	Category	No. of forms
1	Revenue Accounting	20
2	Expenditure accounting and reporting	31
3	NPSAS-based financial statement	1
4	Project Financial Statement	2
5	Budget Implementation	19
6	Inventory Accounting and Assets Management	21
7	Public Works Accounting	15
8	Deposit Accounting	13
9	Debt Accounting	36
10	Investment Accounting	12
11	Audit and Audit Observation	4
12	Internal Control	10
Total		184

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302

1.00

Considering accounting on cash basis in GON entities, are records of revenue arrears maintained?

Yes

MilanRijalM3C3

303

Accounting of advance paid

Treated as expenditure but recorded as advance

Treated as current asset

Not accounted for

Initially no accounting done as expense but only recorded. Treated as expense during settlement.

MilanRijalM3C3

304

Treatment of outstanding expenditures

A) Reported though not accounted

B) Accounted as liability and reported accordingly

C) Accounted when paid only

D) Both (a) and (c)

Budget subhead is available but not in columns

MilanRijalM3C3##

305

1.00

Goswara voucher doesn’t comprise column for

Activity Number

Entity bearing source of expense

Mode of payment

None of those

MilanRijalM3C3

306

Payment order format doesn’t comprise column for

PAN of recipient

Name of recipient

Expense activity

Budget Subhead

MilanRijalM3C3#

307

1.00

Statement of expenditure is a …

Monthly report

Quarterly Report

Trimister Report

Annual Report

Statement of Expenditure (210) This is a monthly report depicting final budget, release, expenditure and balance budget by source and by economic codes of a particular budget head/project/programme.

MilanRijalM3C3#

308

1.00

Deposits [Eg. Retention money held by GON] are

Accounted as liability under double entry system

Reported on accrual basis

Not accounted for due to cash basis accounting

None of those

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309

1.00

Deposit accounting forms doesn’t include

Journal Voucher - Deposit

Payment Orders - Deposit

Deposit Ledger by Government Entities in other entities

Statement of outstanding cheques

MilanRijalM3C3

310

Consolidated fund [Sanchit Kosh] are maintained at

Any Government owned Banks

Central Bank

Any commercial banks

All of those

MilanRijalM3C3#

311

1.00

Total number of operational consolidated funds are

760

761

754

762

753 Local Level + 7 Provinces + 1 Federal

MilanRijalM3C3

312

Operational fund [Karyasanchalan Kosh] can be operated even after end of fiscal year

TRUE

FALSE

Operational Fund (Karaysanchal Kosh) is a special purpose fund that is operated to handle specific cases. Once amounts are expended through the expenditure accounts and transferred to these funds, they do not get freezed. Operational Funds have their own procedures of operating known as Operational Fund Directives (karyasanchal kosh nirdesika). These are maintained in a separate bank account at DTCO. These can be operated even after the end of fiscal year.

MilanRijalM3C3#

313

1.00

Which of these statements relating to Extra Budgetary Units [EBU] is false

EBUs do have their own income

EBUs must follow government accounting and cash basis compulsorily if budget is allocated to them by GON.

OAG forms are not mandatory for EBUs.

It is not mandatory for EBUs to report their self generated income to government unless they have received grant from Government.

MilanRijalM3C3

314

NPSAS is applicable to

A) Public sector entities in 3 tiers of GON

B) Corporations with 100% GON holding

C) Extra Budgetary Units [EBUs]

D) (a) and (c)

MilanRijalM3C3#

315

1.00

Making expenditures and getting it refunded from Development Partnres [DPs] to make fund balance equal to initial deposit balance is

Reimbursement

Replenishment

Retroactive financing

Earmarking

MilanRijalM3C3

316

Before submitting Project Financial Statement to DPs, it has to be verified by

OAG

NRB

FCGO

MOF

MilanRijalM3C3

317

Before submitting Project Financial Statement to DPs (in case of debt financing), which of these is to be done

A) Verification from Public Debt Management Office [PDMO]

B) Certification from OAG

C) Both of those a and b

D) None of those

MilanRijalM3C3#

318

1.00

Monthly reports [statement of expenditure, statement of revenue and deposit, statement of assets and liabilities etc] to be reported by all government offices to superior office within

7 days after month end

21 days after month end

15 days after month end

30 days after month end

MilanRijalM3C3##*

319

1.00

Annual financial statements to be reported by all government offices to DTCO within …. Days after end of fiscal year

MilanRijalM3C3##*

320

1.00

District level financial statements to be reported by DTCOs to FCGO within

Shrawan end

Bhadra end

Ashwin end

Kartik end

MilanRijalM3C3#

321

1.00

Central level financial statements to be reported by central entities to FCGO within

Shrawan end

Bhadra end

Ashwin end

Kartik end

MilanRijalM3C3##*

322

1.00

Consolidated Financial Statement of Federal Government to be reported by FCGO to OAG within

Kartik 10

Kartik 15

Kartik 25

Kartik end

MilanRijalM3C3##*

323

1.00

Consolidated statement of GON Assets and Liabilities to be reported by FCGO to OAG within

Shrawan end

Bhadra end

Ashwin end

Kartik end

MilanRijalM3C3#

324

1.00

Consolidated Financial Statement of Local Local levels to be reported to PTCO/ PTCU/ DTCO within

Shrawan end

Bhadra end

Ashwin end

Kartik end

MilanRijalM3C3##*

325

1.00

Consolidated Financial Statement to be submitted by PTCOs to FCGO within

Kartik 10

Kartik 15

Kartik 25

Kartik end

MilanRijalM3C3##*

326

1.00

Consiolidated Financial Statement of 3 tiers of Government to be submitted by FCGO to OAG and MOF within

Kartik 15

Mangsir 15

Poush 15

Poush 30

MilanRijalM3C3##*

327

1.00

Government offices at Federal and province prepare payment orders through

CGAS

TSA

SuTRA

LMBIS

While spending the budget, first CGAS is being used to issue payment orders and then expenditure is finalized by TSA and such expenditure is also reflected in the LMBIS. Payment is made through electronic fund transfer (EFT) or very rare cases by cheque from TSA.

MilanRijalM3C3#

328

1.00

Government offices at local levels prepare payment orders through

CGAS

TSA

SuTRA

LMBIS

MilanRijalM3C3

329

Budgeting software for federal level is

LMBIS

RMIS

SuTRA

TSA

MilanRijalM3C3

330

Budgeting software for province level is

PLMBIS

PAMS

PTSA

PTMS

MilanRijalM3C3

331

At local levels budgeting software is

LMBIS

SuTRA

PAMS

TSA

MilanRijalM3C3

332

At local levels, accounting and reporting is done through

LMBIS

SuTRA

PAMS

TSA

MilanRijalM3C3

333

…. Is used in federal and province levels for accounting and reporting of revenue

TSA

FMIS

RMIS

MFMIS

MilanRijalM3C3

334

ASYCUDA online system is operated at

Inland Revenue Department

Customs Department

Local level governments

PDMO

MilanRijalM3C3

335

Public debts, investment accounting and reporting is done by PDMO using …..

FMIS

RMIS

DOMS

CGAS

MilanRijalM3C3

336

Which of these is true

PAMS is used for management [recording, reporting] of public assets at local level

PAMS is used for management [recording, reporting] of public assets at federal level

PAMS is used for management [recording, reporting] of public assets at province level

All of those

MilanRijalM3C3

337

LMBIS/ PLMBIS budget data is populated in

TSA

CGAS

SuTRA

All of those

MilanRijalM3C3#

338

1.00

Transition of Government accounting as part of expected PFM reform would be movement from: 1. Accrual 2. Modified Cash 3. Cash 4. Modified Accrual

3 -> 2 -> 4 -> 1

3 -> 4 -> 2 -> 1

1 -> 4 -> 2 -> 3

1 ->2 ->4 -> 3

MilanRijalM3C3

339

Chart of accounts is designed based on

Government Finance Statistics Manual 2014

FPFRA 2076

NPSAS

Government Accounting Manual

MilanRijalM3C3

340

Which of this is integrated system of all Government systems

IFMIS

CGAS

RMIS

TSA

MilanRijalM3C3

341

1) Revenue rates for local government is introduced through

Appropriation bill

Budget speech

Local level finance bill

Tax rates published on local gazette

BookM4C1

342

2) Which of the agencies recommends revenue sharing formulas?

Inland Revenue Department

Ministry of Finance

National Natural Resource and Fiscal Commission

Financial Comptroller General Office

BookM4C1

343

3) Revenue jurisdiction of the province is defined by

Annex 6 of the Constitution of Nepal

Unbundling report of OPMCM

Finance bill of Province

All of the above

● Schedule 5 of the constitution mentions federal list of revenue such as custom duty, excise duty, VAT. corporate income tax (CIT), personal income tax (PIT), remuneration tax, passport fee, visa fee, tourism fee, service charge, fine and penalty. ● Schedule 6 is about the province list to raise revenue from agricultural income tax, land and building registration, entertainment tax, advertisement tax, vehicle tax, tourism fee, service charge, fine, and penalties. ● Schedule 8 is related to the local level's jurisdiction to generate the revenue from property tax, house-rent tax, business tax, land tax, land and building registration, entertainment tax, advertisement tax, vehicle tax, tourism fee, service charge, fine, and penalty. ● Schedule 9 is the concurrent rights of three tiers of government to have income from natural resources royalty, tourism fee, service charge and fine and penalty.

BookM4C1#

344

1.00

4) Which one of the following is the shared rights of revenue collection for the province?

Excise Duty

Value Added Tax (VAT)

Individual Income Tax

Tourism Fees

BookM4C1#

345

1.00

5) The tax collected from taxpayers should go to the government treasury. Which cannon is relevant for this?

canon of economy

canon of transparency

cannon of productivity

canon of certainty

BookM4C1

346

6) Entire revenue collection of government is recorded in which of the following systems

RMIS

FMIS

RAS

TSA

Revenue is accounted for and reported on a cash basis; however, the arrears are recorded on accrual basis. Revenue collection and mobilization is massively supported by IT systems in Nepal, RMIS software system plays one of the vital roles in compilation of the revenue collection and reporting

BookM4C1#

347

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7) Which TWO are correct statement? A) Revenue in divisible fund is liability of divisible fund holding government. B) Royalties is split among three tiers of government at same rate like domestic VAT sharing. C) Revenue sharing receipt by SNG should be refunded to federal government if not spent within the fiscal year D) Revenue sharing formula is prescribed by NNRFC.

A, D

A, B

B, C

C, D

BookM4C1#

348

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8) Which one is Not correct statement?

VAT and excise duty is revenue sharing among three tiers of government

In case of SNG, revenue collecting province government retains 40% revenue and rest 60% is distributed to respective another SNG (such as respective LGs)

Out of 25% of royalties as a share of LGs.

Higher poverty status requires higher revenue sharing.

BookM4C1#

349

1.00

9) Which one of the statements is Not correct?

30% of VAT of contract agreement is to be credited by withholder while making the payment of goods and services.

TDS on some items such as interest income is final payment.

Reverse VAT is paid to the taxpayer.

Compulsory registration, voluntary registration and temporary registration of VAT are available under VAT administration.

BookM4C1

350

10) Tax audit is not conducted by

DTCO

OAGN

Tax Officer

Registered Auditor

Tax audits are typically conducted by tax authorities or agencies such as the DTCO (Department of Taxation and Customs Office), OAGN (Office of the Auditor General of Nepal), or specific designated tax officers. Registered auditors generally perform audits related to financial statements and compliance with accounting standards, rather than tax audits.

BookM4C1#

351

1.00

11) Which are common for DOC and IRD?

Registration and declaration

Compliance and regulation

Compliance and declaration

Registration and compliance

BookM4C1

352

12) Which one of the following is sectorial revenue strategy

Revenue improvement action plan

Fiduciary risk management strategy

Revenue arrear recovery strategy

Custom Improvement and Modernization Plan

RIAPs are prepared based on revenue strategy, the federal government has its sectoral strategy such as Income tax strategy, and customs strategy, and its implementation plan is included within these sector strategies Likewise, DOC has already implemented five Improvement plans and now it has implemented Custom Improvement and Modernization Plan (2078/79- 2082/83) (Decisions Collection, Customs History).

BookM4C1##

353

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13) Which of the following two are the revenue assessment tool? A) Fiduciary risk management strategy B) Tax Administration Diagnostic Assessment Tool C) Customs Performance Measurement and Diagnostic Framework D) Custom Improvement and Modernization Tool

B, C

A, C

B, D

A, B

BookM4C1#

354

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Which of the following is not the central level office of MOF?

Inland Revenue Department (IRD)

Financial Comptroller General Office (FCGO)

National Planning Commission.

Department of Customs (DoC)

KshitijSharmaM4C1

355

Which of the following is major ministry responsible for collecting and recording revenue at province level?

Ministry of Economic affairs and planning

Ministry for Internal law and affairs

Provincial planning commission

Office of chief minister and council of ministers

KshitijSharmaM4C1

356

Which of the following is under sole jurisdiction of local level?

Entertainment tax

Motor vehicle tax

Advertising tax

Land tax

KshitijSharmaM4C1

357

Which one of the following is the correct statement?

Medium level tax payer office is for tax payers having taxable turnover of 500 million up to 800 million rupee

Tourism fee has shared right for revenue between federal and province level government

Schedule 8 of Constitution of Nepal is related to local levels jurisdiction to generate revenue

Department of Revenue investigation is under Inland Revenue Department.

KshitijSharmaM4C1

358

Which one of the following is not the non tax revenue?

Passport and Visa Fee

Tourism Fee

Lottery, Casino Charges

House and Land Registration Fee

House and Land Registration Fee is a tax revenue

KshitijSharmaM4C1

359

Local level collects which of the following taxes? A) Advertisement Tax B) Vehicle Tax C) Entertainment Tax D) Agriculture Income Tax

A, B, C

A, B, D

A, C, D

B, C, D

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360

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Which of the following government agency determines revenue requirement to meet financing need as a part of revenue policy formation?

Ministry of Finance

National Planning Commission

OPMCM

Financial Comptroller General Office (FCGO)

KshitijSharmaM4C1##

361

1.00

Revenue targets are obtained through which of office or department?

Financial Comptroller General Office (FCGO)

Revenue Generating Offices

National Planning Commission

Office of Auditor General (OAG)

In the context of Nepal, the NPC offers economic forecasts and ensures policy alignment with national development goals. As a part of revenue policy formulation, every year MoF analyzes the economic scenario of the country and determines the revenue requirement to meet its expenditure and financing needs. Revenue targets are obtained through revenue generating offices. Revenue projections are refined through internal reviews and stakeholder consultations before being presented in the annual budget by the Finance Minister. This budget includes changes in tax legislation and is subject to parliamentary debate and approval, allowing for detailed scrutiny by Committees and discussions on fiscal impacts. Local governments also contribute to the policy by leveraging their authority to generate revenue within federal guidelines. Ideal revenue policy formulation process is similar to other public policy formulation which is given in the diagram.

KshitijSharmaM4C1

362

The tax revenue of the budgetary central government is approximately what percentage?

0.75

0.8

0.85

0.9

The tax revenue of the budgetary central government is around 90 percent.

KshitijSharmaM4C1

363

Which office is responsible for the audit and investigation of customs fraud and error?

Financial Comptroller General Office (FCGO)

Post Clearance Audit (PCA) Office

Inland Revenue Department (IRD)

Department of Revenue investigation

Post Clearance Audit (PCA) offices under DoC and the Department of Revenue Investigation (DRI) under OPMCM are established for audit and investigation of customs and revenue fraud and error respectively

KshitijSharmaM4C1

364

Which office is responsible for the audit and investigation of revenue fraud and error?

Financial Comptroller General Office (FCGO)

Post Clearance Audit (PCA) Office

Inland Revenue Department (IRD)

Department of Revenue investigation

KshitijSharmaM4C1

365

What is the principle of taxation that suggests the tax system should be as simple as possible?

Canon of Equity

Canon of Certainty

Canon of Convenience and Simplicity

Canon of Economy

KshitijSharmaM4C1

366

Which canon of taxation is concerned with generating sufficient revenue for the government without discouraging investment?

Canon of Equity

Canon of Certainty

Canon of Productivity

Canon of Economy

KshitijSharmaM4C1

367

What is the term for a tax system where the tax rate increases as the taxable amount increases?

Regressive Tax

Proportional Tax

Progressive Tax

Flat Tax

KshitijSharmaM4C1

368

What principle suggests that the burden of taxation should be distributed fairly among taxpayers?

Canon of Economy

Canon of Certainty

Canon of Equity

Canon of Convenience and Simplicity

KshitijSharmaM4C1

369

What facility is provided in the RMIS regarding corrections in revenue collection, and what are the limitations?

Office code and revenue head can be changed; date and amount of revenue cannot be changed.

Date and amount of revenue can be changed; office code and revenue head cannot be changed.

All fields can be changed without limitations.

No corrections are allowed once the data is posted.

KshitijSharmaM4C1

370

Non-operative revenue account (Treasury Single Account of revenue) of federal government is opened in the name of….?

Ministry of Finance

Government of Nepal

National Planning Commission.

Financial Comptroller General Office (FCGO)

KshitijSharmaM4C1

371

What principle involves projecting revenue by multiplying the tax bases with the effective rate of tax?

Trend Analysis

Methods of Tax Elasticity

Effective Tax Rate Principles

Comparative Analysis

KshitijSharmaM4C1

372

How is the effective rate of tax calculated under the Effective Tax Rate Principles?

By multiplying total tax collected by the number of taxpayers

By dividing total tax collected by the tax base

By adding the tax collected to the tax base

By subtracting tax exemptions from the total tax collected

KshitijSharmaM4C1

373

Which principle considers past growth rates and other factors affecting revenue growth?

Trend Analysis

Methods of Tax Elasticity

Effective Tax Rate Principles

Comparative Analysis

KshitijSharmaM4C1

374

What is the first step in determining the revenue target for budget formulation in Nepal?

Allocation of targets to IRD and DoC

Presentation of revenue estimation to Parliament

Gross estimation of national resources by the National Resources Committee

Submission of the estimation report to MoF

KshitijSharmaM4C1#

375

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What additional target does the MoF set for IRD and DoC besides the annual revenue target?

Target for new taxpayer registration

Target for international trade revenue

Target of revenue arrears collection

Target for reducing tax evasion

Step 4: MoF allocates, as a good practice, the target to IRD and DoC for each month, quarter, and fiscal year, Mof also sets the target of revenue arrears collection for each revenue office.

KshitijSharmaM4C1

376

What legal provisions guide the National Resources Committee in the gross estimation of national resources for revenue projection?

Section 8 of the Financial Procedure and Financial Accountability Act, 2076

Section 7 of the Financial Procedure and Financial Accountability Act, 2076, and Rule 13 of Financial Procedure and Financial Accountability Rules, 2077

Section 9 of the Financial Procedure and Financial Accountability Act, 2076

Section 7 of the Financial Procedure and Financial Accountability Act, 2076, and Rule 15 of Financial Procedure and Financial Accountability Rules, 2077

KshitijSharmaM4C1#

377

1.00

Which Article of the Constitution mandates the Federal Finance Minister to present the annual estimation of revenue to the Parliament?

Article 117

Article 118

Article 119

Article 120

KshitijSharmaM4C1##*

378

1.00

What are the steps involved in the gross estimation of national resources and how is it incorporated into the budget formulation process?

MoF submits the report, Finance Minister presents the estimation, National Resources Committee reviews

National Resources Committee makes the estimation, submits the report to MoF, Finance Minister presents the estimation to the Parliament

National Resources Committee consults IRD, MoF reviews the report, Finance Minister approves the estimation

National Resources Committee collects data, MoF finalizes the estimation, Finance Minister presents it to the President

KshitijSharmaM4C1

379

What are the primary types of revenue exemption and concession categories defined in Nepal’s revenue-related laws?

Sector-based, Transaction-based, and Business-based

Person-based, Business-based, and Item-based

Person-based, Business-based, and Sector-based

Income-based, Expenditure-based, and Transaction-based

KshitijSharmaM4C1#

380

1.00

What are the types of revenue exemption and concession?

Person-based

Business-based

Item-based

All of the above.

KshitijSharmaM4C1

381

Entity having exemption by treaty or agreement, diplomats, Nepal Rastra Bank, sector-based listed companies, rural cooperatives is called

Person-based

Business-based

Item-based

All of the above.

KshitijSharmaM4C1##

382

1.00

Which of the following is true in case of revenue exemption and concession?

Finance Act provides authority to GoN to allow exemption and concession on the revenue rate and amount.

Respective IRO provides tax exemption for not-for-profit organizations each year if conditions are met. Also, sometimes the government formulates a commission or committee to collect the revenue arrears by giving certain concessions.

Government may sign grant or loan agreement with development partner by including Clause for providing certain tax exemption or concession.

All of the above.

KshitijSharmaM4C1

383

Federal government may provide which of the Fiscal transfers to the SNG (Sub-National Government)?

Fiscal Equalization Grant, Conditional Grant, Matching Grant and Special Grant.

Fiscal Equalization Grant, Conditional Grant and Matching Grant.

Fiscal Equalization Grant, Conditional Grant and Special Grant.

None of the above.

KshitijSharmaM4C1

384

Who is the responsible agency for defining the formulas for revenue sharing, and fiscal transfer across all three tiers of the government in Nepal?

Nepal Planning Commission.

Office of Auditor General.

Financial Comptroller General Office.

National Natural Resources and Fiscal Commission.

KshitijSharmaM4C1

385

VAT and Excise Duty on domestic production collected by the federal government should be shared between the Federal, Province, and Local Level Divisible Fund in which ratio?

70, 15, and 15 percent between the Federal, Province, and Local Level respectively.

50, 25, and 25 percent between the Federal, Province, and Local Level respectively.

Fund are not shared between the Province, and Local Level.

None of the above

KshitijSharmaM4C1

386

Dahattar & Bahattar income means?

Income from Entertainment tax

Income from Advertisement tax

Sand and aggregate related income

Non of the above.

KshitijSharmaM4C1

387

When shall the GoN review the provision of distribution of royalties between three levels of government?

Every year.

Every three years.

Every five years.

Every seven years.

KshitijSharmaM4C1#

388

1.00

From the Federal Divisible Fund, which Royalties collected by the GoN and deposited in the fund are shared between the Federal, Province, and Local Level?

The royalties collected from forestry, electricity, mining and minerals, water, and other natural resources.

The royalties collected from mountaineering, forestry, electricity, mining and minerals, water, and other natural resources.

The royalties collected from mountaineering, forestry, electricity, mining and minerals, and water.

The royalties collected from other natural resources.

KshitijSharmaM4C1

389

How is the Royalties from the Federal Divisible Fund, are shared between the Federal, Province, and Local Level?

In the ratio of 50, 25 and 25 percent between the Federal, Province, and Local Level respectively.

In the ratio of 70, 15 and 15 percent between the Federal, Province, and Local Level respectively.

Fund are not shared between the Province, and Local Level.

None of the above

Like the sharing of VAT and Excise Duty, the Royalties obtained from the natural resources are deposited in the Federal Divisible Fund. From the Federal Divisible Fund, the Royalties (on mountaineering, forest, electricity, mining and minerals, water, and other natural resources), collected by the GoN and deposited in the fund are shared between the Federal, Province, and Local Level in the ratio 50 percent, 25 percent and 25 percent respectively (IGFM section 7.2, schedule 4). The GoN should distribute the royalties to the affected Province and Local level based on the proportion of effect through the utilization of natural resources in an equitable way on the recommendation of the NNRFC. The GoN is also liable to review the provision of distribution of royalties between three levels of government, on the recommendation of NNRFC in every five years (Clarification 1, 2: section 7.2 Schedule-4, and IGFM Act, 2017)

The GoN creates the Federal Divisible Fund and deposits the collected VAT and Excise Duty (on domestic production) in the same fund. As per section 6.2 of IGFM Act 2017 VAT and Excise Duty on domestic production collected by the federal government should be shared between the Federal, Province, and Local Level Divisible Fund in the ratio of 70 percent, 15 percent, and 15 percent respectively. The formula for sharing from divisible to 7 Provincial Consolidated Funds and 753 local level Consolidated Funds is determined by NNRFC.

KshitijSharmaM4C1

390

Income tax falls under the jurisdiction of which Government?

Federal Government

Province Government

Local Government

All of the above

KshitijSharmaM4C1

391

IRD is facing which of the following risks?

Declaration risks, Compliance risks, and Registration risks.

Declaration risks, Compliance risks, and Regulatory risks.

Registration risks, Compliance risks and Financial Risk

Registration risks, Compliance risks and Regulatory risks

IRD is facing registration risks, compliance risks and regulatory risks whereas the custom department encounters declaration risks, compliance risks, and regulatory risks.

KshitijSharmaM4C2#

392

1.00

Custom Department is facing which of the following risks?

Declaration risks, Compliance risks, and Registration risks.

Declaration risks, Compliance risks, and Regulatory risks.

Registration risks, Compliance risks and Financial Risk

Registration risks, Compliance risks and Regulatory risks

KshitijSharmaM4C2#

393

1.00

IRD Conducts audits and investigations of …...% of total taxpayers each year.

IRD conducts a large number of audits and investigations every year such as full audits, current year audits (TDS audit and credit verification). Indirect audits, electronic system audits etc. For that purpose, 2% of total taxpayers are selected every year. Out of that 2%, IRD selects 70% of taxpayers with the help of a computer system called the revenue risk engine. That system regularly analyzes taxpayers' transactions on various preset risk indicators and provides the PAN to be audited. The remaining 30% of taxpayers are selected by the IROs based on the information collected in the office. There is a dedicated investigation section in IRD for administering the overall audit and investigation function. IROs also have a separate audit and investigation section which carries out audit and investigation.

KshitijSharmaM4C2

394

Out of total taxpayer selected for audits and investigation, IRD selects …...% of taxpayers with the help of a computer system called the revenue risk engine.

KshitijSharmaM4C2

395

The positions of revenue group are clustered up to which level of employee of Government of Nepal?

Under-secretary level

Joint-secretary level

Secretary level

Chief-secretary level

The Revenue Administration Service is run by a special cadre from the revenue group of Nepal Administrative Service. This group is specialized for the administration relating to internal revenue and customs. The positions of the revenue group are clustered up to the under-secretary level. For the joint secretary level position, the employees of the Nepal administrative service are deputed in the revenue administration. Separate national and international level training is given to those staff.

KshitijSharmaM4C2#

396

1.00

Which Statement is correct?

Revenue and arrears are accounted and reported on cash basis.

Revenue and arrears are accounted and reported on accrual basis.

Revenue and accruals are accounted and reported on modified cash basis.

Revenue is accounted and reported on cash basis and the arrears are recorded on accrual basis.

4.7 Revenue Accounting and Reporting. Revenue is accounted for and reported on a cash basis; however, the arrears are recorded on accrual basis.

KshitijSharmaM4C2#

397

1.00

IRD has already implemented second Strategic Plan, what is the date range of the plan?

2017/18-2021/22

2018/19-2022/23

2019/20-2023/24

2020/21-2024/25

KshitijSharmaM4C2##

398

1.00

Department of Custom has implemented Custom Improvement and Modernization Plan, what is the date range of the plan?

2077/78-2081/82

2078/79-2082/83

2079/80-2083/84

2080/81-2084/85

KshitijSharmaM4C2#

399

1.00

Which Statement is correct regarding potential areas of improvement regarding Revenue reforms?

Gradually transforming the import-based revenue structure towards direct tax and domestic production.

Taxpayers with more than NPR 250 million transactions per year are to be incorporated into the Central Billing Monitoring System.

Arrangement is to be made to refund the Value-added Tax and Excise Duty paid on the purchase of raw materials by industries that produce and export goods exempted from Value-added Tax and Excise Duty.

All of the above.

KshitijSharmaM4C2

400

Which is correct regarding Revenue improvement Action plans of GoN?

Revenue Improvement Action Plans (RIAPs) are short-term plans used for revenue projection and outlining strategic initiatives. They help achieve fiscal policy and revenue targets set by the government. RIAPs identify resource areas and include strategies for sectors like income tax and customs at the federal level, while provincial and local levels have holistic RIAPs.

Revenue Improvement Action Plans (RIAPs) are medium-term plans used for revenue projection and outlining strategic initiatives. They help achieve fiscal policy and revenue targets set by the government. RIAPs identify resource areas and include strategies for sectors like income tax and customs at the federal level, while provincial and local levels have holistic RIAPs.

Revenue Improvement Action Plans (RIAPs) are long-term plans used for revenue projection and outlining strategic initiatives. They help achieve fiscal policy and revenue targets set by the government. RIAPs identify resource areas and include strategies for sectors like income tax and customs at the federal level, while provincial and local levels have holistic RIAPs.

All of the above.

KshitijSharmaM4C2#

401

1.00

What is Tax Administration Diagnostic Assessment Tool (TADAT)?

TADAT, developed by the World Bank and other organizations, is a diagnostic tool that assesses tax administration performance in areas including organizational effectiveness, compliance risk management, and service delivery.

TADAT, developed by the World Bank and other organizations, is a diagnostic tool that assesses internal trade policy of each countries.

TADAT, developed by the Government of Nepal, is a diagnosis tool that assesses budget allocation including organizational effectiveness, compliance risk management, and service delivery.

TADAT, developed by the Government of Nepal and other organizations, is a Legislative framework that assesses tax administration performance in areas including organizational effectiveness, compliance risk management, and service delivery.

TADAT is a comprehensive diagnostic tool developed by the World Bank in collaboration with other international organizations. It assesses the performance of tax administration across various dimensions, including organizational effectiveness, compliance risk management, and service delivery.

KshitijSharmaM4C2#

402

1.00

Which areas are covered by the Customs Performance Measurement and Diagnostic Framework (CPMD)?

Tax administration, public safety, environmental protection.

Environmental protection, urban planning, and housing

Trade facilitation, revenue collection, risk management, and integrity

Trade facilitation, revenue collection, risk management, and performance evaluation of tax administration.

KshitijSharmaM4C2

403

Which of the following are the Revenue Assessment tools?

Tax Administration Diagnostic Assessment Tool (TADAT) and Customs Performance Measurement and Diagnostic Framework (CPMD).

Tax Assessment Tool (TAT) and Customs Performance Measurement and Diagnostic Framework (CPMD).

Tax Administration Diagnostic Assessment Tool (TADAT) and Customs Performance Framework (CPF).

All of the above.

4.10.1 Tax Administration Diagnostic Assessment Tool (TADAT) and 4.10.2.Customs Performance Measurement and Diagnostic Framework (CPMD)

KshitijSharmaM4C2

404

At the federal level, who identify arrears through online software systems?

Inland Revenue Department.

Mainly the Inland Revenue Department and Land Revenue Office.

Mainly the Inland Revenue Department, Department of Customs and Land Revenue Office

Mainly the Inland Revenue Department and Department of Customs.

At the federal level, mainly the Inland Revenue Department and Department of Customs identify arrears through online software systems. All the arrears and outstanding balances are recorded on each of the PAN numbers. There is stringent provision for defaulters to face legal enforcement actions, barring for government service, including asset seizures. At province and local government revenue collection offices maintain records of arrears related to property and business taxes by issuing reminders, offering flexible payment plans, and taking local enforcement actions. Coordination among these levels ensures effective arrears management, enhancing fiscal stability and compliance across the nation.

KshitijSharmaM4C2#

405

1.00

At the province and local government, who identify arrears of property and business tax?

Revenue Collection Office.

Mainly the Inland Revenue Department and Revenue Collection Office.

Mainly the Inland Revenue Department, Department of Customs and Revenue Collection Office.

Mainly the Inland Revenue Department and Department of Customs.

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What is ITS?

ITS is a offline computer system in which arrears or claims are automatically calculated on an annual basis.

ITS is a offline computer system in which arrears or claims are automatically calculated on a monthly basis.

ITS is a offline computer system in which arrears or claims are automatically calculated on a weekly basis.

ITS is a web-based computer system in which arrears or claims are automatically calculated on a daily basis.

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A personal ledger of a taxpayer is maintained by?

Inland Revenue Department.

Department of Custom.

Inland Revenue Department and Department of Custom.

None of the above.

To manage arrears, IRD applies three types of methods: promotional, preventive, and curative. Awareness campaigns, follow-ups, collection visits, and legal actions are the main recovery tools used by IROs. Since DoC as well as other agencies involved in the collection of non-tax revenue deliver services only upon full payment made by the taxpayer, a personal ledger of a taxpayer is not maintained. Generally, there is no case of dues or arrears with regard to customs and non-tax revenue. Income Tax Act, 2058 clearly specifies the process to be initiated for recovery of tax arrears.

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Who plays a vital role in identification and recovery of revenue arrears in Nepal?

A) Office of The Auditor General.

B) Financial Comptroller General Office.

C) National Planning Commission.

a and b both.

OAGN also plays a vital role in identification and recovery of revenue arrears. OAGN carries out a revenue audit within its jurisdiction and provides instructions for recovery of the irregularities. Judicial mechanism has also played a crucial role to recovery but revenue administration has its own tribunal for handling revenue- related matters. However, revenue goes beyond tax and customs, revenue arrears associated with various government agencies have their own mechanism to recover the revenue arrears.

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Which is correct regarding arrears management by IRD?

To manage arrears, IRD applies legislative, executive, and judicial method.

To manage arrears, IRD applies educational, social, and economic method.

To manage arrears, IRD applies promotional, preventive, and curative method.

None of the above.

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1) Which one of the following is the main procurement method?

Direct procurement

National Bidding

Catalog shopping

Buy Back method

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2) Which is not a stage of procurement ?

Preparation of master plan

Preparation of cost estimate

Invitation for information

Invitation for bids

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3) Invitation of bids is one of the major procurement stages, which one of the following actions is associated with it

Bid security deposit

Pre-bid meeting

Clarification of notice

Notice addendum

Pre-bid meeting: Pre-bid meeting is optional, pre-bid meeting of bidders may be organized to clarify any ambiguities or discrepancies in the documents and to give potential bidders information on the bidding process, technical specifications, construction site and on the PEs’ expectations and the like matters. Pre-bid meeting is scheduled at least ten days before the last date for bid submission for NCB and fifteen days before the last date for bid submission for ICB. It should be held on the date, time place stated on the bidding document.

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4) A Public Entity is going to publish a notice for the procurement of Computers and Servers through national competitive bidding. The estimated cost for the Computers and Servers is 120,000,000 (one hundred twenty million) rupees with value added tax. What will be the bid validity period for this procurement?

150 days

120 Days

90 Days

45 days

National Competitive Bidding is applicable for procurement of Goods, Works and Other services. The preferred/default method of procurement is the open National Competitive Bidding (NCB). Except as otherwise provided in PPA, a PE making any procurement, to the extent possible, shall make by inviting NCB, and provide equal opportunity to qualified national bidders to participate in such procurement process without any discrimination.
b. Bid validity period: In setting out the bid-validity period shall be ninety days to one hundred and twenty days. PE shall have to conclude procurement contract within the bid validity period.

The bid validity period refers to the duration for which a bid, once submitted by a bidder in response to a procurement notice, remains valid and binding. During this period, the bidder is obligated to honor the terms of their bid, including the quoted price and conditions, if selected as the winning bidder.

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5) A Public Entity is going to publish a notice for the procurement of Computers and Servers through national competitive bidding. The estimated cost for the Computers and Servers is 120,000,000 (one hundred twenty million) rupees with value added tax. What will be the price for the selling of bid document?

10,000 Rupees

8,000 Rupees

6000 Rupees

3000 rupees

·(क) बीस लाख रूपैयाँभन्दा माथि दुई करोड रूपैयाँसम्मको लागि तीन हजार रूपैयाँ, ·(ख) दुई करोड रूपैयाँभन्दा माथि दश करोड रूपैयाँसम्मको लागि पाँच हजार रूपैयाँ, ·(ग) दश करोड रूपैयाँभन्दा माथि पच्चीस करोड रूपैयाँसम्मको लागि दश हजार रूपैयाँ, (घ) पच्चीस करोड रूपैयाँभन्दा माथि जतिसुकै रकमका लागि बीस हजार रूपैयाँ। Rule 48 of Procurement Rules

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6) Which one is not part of eligibility examination?

Firm Registration certificate

PAN/VAT Registration Certificate

Tax clearance certificate

Bid security

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7) In International Competitive Bidding (ICB), Single-Stage: Two Envelope Bidding Procedure, at least how many days of notice is required for the opening of Financial or price bid?

7 days

21 days

15 days

30 Days

In case of Single-Stage: Two Envelope Bidding Procedure, only Technical Bids are opened in public in the presence of bidder or its representative who choose to attend at the address, date and time specified in the Bidding document. The bid price will remain unopened and will be held in custody of the PE until the specified time of their opening. If the Technical Bid and Bid Price are submitted together in one envelope, the PE will reject such bids.
Responsive bidders' Bids Price shall be opened at the place, date and time of opening Bid Price with at least 7 days' notice for NCB and 15 days' notice for ICB. In such notice, information on the ground of non - responsiveness shall also be sent to non-responsive bidders, so that they shall have avenues for the request for review. Bids Price shall be opened at the place, date and time and read out the bid price and prepare a price bid opening minute.

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8) What is the threshold for preparing a master procurement plan?

an amount exceeding one hundred million Rupees

an amount exceeding two hundred million Rupees

an amount exceeding ten million Rupees

an amount exceeding sixty million Rupees

A PE shall have to prepare a master procurement plan if it has the project to be operated for multi-years or it has the project cost of more than one hundred million Rupees. A PE shall have to prepare an annual procurement plan, if it has to procure an amount exceeding one million Rupees annually. PPMO Format for preparing master procurement plan and annual procurement plan is attached in Annex-1 and Annex-2 respectively. Annual procurement plan is submitted with an annual program and budget.
The difference between a Master Procurement Plan and an Annual Procurement Plan lies in their scope and timeframe:
Master Procurement Plan: This is a comprehensive document that outlines the procurement strategy and schedules for all procurement activities over a longer period, often covering several years. It provides a strategic overview of how procurement needs will be met, considering budgetary constraints, project timelines, and other strategic considerations.
Annual Procurement Plan: This plan focuses on the procurement activities planned for a specific fiscal year. It details the specific goods, works, and services that need to be procured during that year, based on the broader strategic framework outlined in the Master Procurement Plan. It includes detailed information such as procurement methods, estimated costs, and timelines for each procurement activity.

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9) What is the threshold for filing an application before the Review Committee for review against the decision made by the chief of the Public Entity?

an amount exceeding ten million Rupees

an amount exceeding twenty million Rupees

an amount exceeding fifty Rupees

an amount exceeding two hundred million Rupees

No application can be submitted before the Review Committee for review against the decision made by the Chief of the PE for the bid amount less than twenty million rupees.

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10) What is the bid security amount for filing an application before the Review Committee for review against the decision made by the chief of the Public Entity?

0.1 percent amount of the quoted amount in his/her bid

2.5 percent amount of the quoted amount in his/her bid

10 percent amount of the quoted amount in his/her bid

1 percent amount of the quoted amount in his/her bid

10% of the bid security amount and 1% of the quoted bid amount
The purpose of the review committee is to review the challenge made by bidders on any decision taken with regard to procurement proceedings. A bidder, who claims to have suffered or claims likely to suffer from the error or breach of the duty because of non-compliance of a decision or action of the PE with the provisions of PPA may challenge to the review committee on the decision or action concerned.
The bidder shall have to state clearly the commission or omission of an act by the PE that led to such error or breach of duty and the provision of the PPA/PPR or guidelines made thereunder that have been contravened by such decision.
If the Bidder may file an application within seven (7) days of receipt of such decision for review before the Review Committee, if s/he is not satisfied with the decision of the PE, or the decision by the PE is not given within five (5) days of receipt of application, stating the reason of its disagreement on the decision of the chief of PE and furnishing the relevant documents, provided that its Bid amount is above NRs 20,000,000. No action will be taken, if the application is not submitted within 5 days. Late application filed after the deadline pursuant to ITB 45.4 shall not be processed. Late filed application after the deadline will not be processed.
No application can be submitted before the Review Committee for review against the decision made by the chief of the PE for less than bid amount of NRs 20,000,000. The Bidder, filing application, shall have to furnish a cash amount or bank guarantee equal to ten percent (10%) of amount of bid security in case of complaint against decision on the rejection of Technical Bids and a cash amount or Bank guarantee of and one percent (1%) of its quoted Bid amount from Commercial Bank or Financial Institution eligible to issue Bank Guarantee with the validity period of at least ninety (90) days from the date of the filing of application. Application filed without furnishing the security deposit shall not be processed.

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11) For the procurement of consultancy service, what is the threshold amount for inviting an international level expression of interest?

an amount valuing more than thirty million Rupees

an amount valuing more than one hundred fifty million Rupees

an amount valuing more than sixty million Rupees

an amount valuing more than one hundred million Rupees

International level bidding should be used when the cost of the consulting service is more than NRs. 150 million.

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12) What is the cost estimate amount of a construction work for disclosing up shall be stated in the notice of invitation to bid?

up to six million Rupees

up to ten million Rupees

up to sixty million Rupees

up to twenty million Rupees

??????????

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13) In the bid evaluation process, which is the first step?

Completeness of the bid

Eligibility examination

Responsiveness of the bid

Bid price

Step 1: The Eligibility Examination is conducted
Step 2: The Completeness Examination is conducted
Step 3: Responsiveness Examination.
Step 4: Detailed Commercial Evaluation
Step 5: Financial Evaluation
Step 6: Post Qualification Bid Evaluation
Step 7: Extension of Bid Validity Period:
Step 8: Selection of Bidder
Step 9: Rejection of All Bids
Step 10: Submission of Bid Evaluation Report

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14) A bid will be processed in which of the following condition:

Value of minor deviations is more than 15% of the bid amount

Bidder does not provide clarifications

Inability to meet the critical delivery or work schedule

Ability to meet major technical requirements.

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15) What is the threshold for the procurement of Construction work through electronic bidding?

above six million Rupees

above fifteen million Rupees

above ten million Rupees

above twenty million Rupees

As per PPMO circular, e-GP system must be used for the procurement of goods more than NPR 6,000,000, procurement of Works more than NPR 20,000,000 and procurement of Consulting Services more than NPR 2,000,000.

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16) Who is not part of the eGP system in Nepal?

Creator

Reviewer

Office in charge

Approver

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17) What is the bid security amount to specify in the invitation for bid?

2.5 percent of bid amount

5 percent of estimated amount

2 to 3 percent of estimated amount

1 percent of estimated amount

a. Bid Security: PE shall have to specify bid security of at least 2 to 3 % of estimated amount in cash or the bid security issued by a commercial bank or financial institution with the bid response. The validity period of the bid security shall exceed by at least thirty days of bid validity period. A bid security issued by a foreign bank must be counter-guaranteed by a commercial bank or financial institution situated in Nepal. The Bid Security of a JV must be in the name of the JV partners. In cases where the bid security of any bidder is forfeited, the PE shall make a claim within the validity period to the issuing bank of such bid security. Except a bid security liable to forfeiture under the PPA or PPR, the PE shall have to return back to the concerned bidders within three days of conclusion of procurement contract. The bid security shall be forfeited in the following conditions: -
> If the bidder requests for modification or withdrawal of bid during the validity period of bid, after the deadline for the submission of bids,
> If the bidder refuses to accept the correction of arithmetical errors found in the bid,
> If the selected bidder fails to sign the procurement contract in accordance with the terms and conditions set forth in the bidding documents,
> Where the bidder fails to furnish the performance security as set forth in the bidding documents within the time for signing the procurement contract,
> If the bidder has changed the bid price or substantive matter of the bid while providing any information in response to clarification sought by the PE in the course of examination of bids.
> If any act contrary to code of conduct as referred to in PPA.

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18) When the Supplier/Contractor shall have to request PE for the extension of time in case she/he will not be able to complete the contractual obligation within the time of such contract?

21 days

15 days

7 days

30 days

h. Extension of time: If the contract period is to be inevitably extended due to force majeure or failure of the PE to make available the materials to be made available or other reasonable causes, the competent authority may extend the contract period on the reasonable grounds. During performance of the Contract, the Supplier or its Contractors encountered any problem for timely completion of the contract s/he should submit an application to the concerned PE twenty-one days prior to the end of contract

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19) Within how many days of receipt of the application for review, the Review Committee shall have to make decision?

30 days

15 days

90 days

45 days

Within three days of the receipt of application, the Review Committee shall notify to the concerned PE to provide the information about the action taken in that respect and comments thereon, by transmitting a copy of such application. The PE shall have to provide information and comments related thereto within three days of the receipt of notice from Review Committee. The Review Committee shall have to make decision within thirty days of receipt of the application on the basis of the information and comments received, the evidence submitted by the applicant along with the application and, if necessary, by hearing both the parties.
In making a decision, the Review Committee may decide as follows:
Can suspend the procurement proceedings
Can reject the appeal and forfeit the security
Can stop PE to do or not to commit or make an unauthorized act or decision or to pursue incorrect procedure
Can suspend the decision of PE and refund the security amount.
Recommend for reevaluation over the proceedings
Recommend to refund the cost of bidding

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20) Which of the following are part of contract management?

Breach of contract

Force Majeure

Price adjustment

All of above

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21) Which one of the following offices has not been yet established?

Public procurement and monitoring office

Government Procurement Service Office

Rate fixation committee

Procurement Unit

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431

22) Which one of the following promotes transparency?

E-Procurement Systems

Open Contracting Data Standards (OCDS)

Procurement Dashboards

MAPS assessment

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1. What is the primary aim of the Public Procurement Act 2063 (PPA)?

To encourage private procurement

To regulate public procurement ensuring transparency and fairness

To support international procurement only

To reduce the number of bidders

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2. Which principle ensures that procurement processes must be transparent to ensure fairness and accountability?

Promoting Competition

Achieving Value for Money

Achieving Transparency

Fair Dealing

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3. What method is preferred for the procurement of Goods, Works, and Other services according to the Public Procurement Act?

Sealed Quotations

Direct procurement

International Competitive Bidding

National Competitive Bidding

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4. Which procurement method is used when the estimated value of Goods or Construction works is less than one million Rupees?

Lump-sum Rate method

Sealed Quotations

Direct procurement method

Limited Tendering method

Direct procurement method is allowed,
> when the estimated value of Goods or Construction works are less than one million Rupees and when the estimated value of Consultancy service are less than five hundred thousand Rupees.
> when only one supplier or construction entrepreneur or consultant or service provider has the technical efficiency or capacity to fulfill the procurement requirement, or
> when only one supplier has the exclusive right to supply the goods to be procured and no other appropriate alternative is available, or
> when additional goods or services of proprietary nature is to be procured from the existing supplier or consultant or service provider, or
> when the most necessary construction works, goods or consultancy services or other services not included in the initial contract due to failure to foresee and difficult to be completed by separating from the initial contract due to technical or financial reasons, is to be procured, or
> when the service of a particular consultant with his unique qualifications is immediately needed for the concerned work or where the service of same consultant is essential, or
> for the procurement of goods, services, and works of very urgent and essential nature

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5. Public procurement can be classified into which major types according to the PPA?

Goods, Services, and Consultancy

Public Works, Goods, and Consultancy

Construction, Services, and Others

Civil Works, Goods, and Consultancy

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6. Which procurement process step involves the preparation and approval of drawings, specifications, and terms of reference?

Need Identification

Contract Award

Cost Estimation

Preparation of Drawings/Designs

5.4 Procurement Process (Civil Works and Goods)
5.4.1 Need Identification and Preparation of Master Procurement Plan/Annual Procurement plan
5.4.2 Approval of budget and program
5.4.3 Preparation of Drawings/designs, Specifications and Terms of Reference
5.4.4 Preparation of Cost Estimate
5.4.5 Preparation and Approval of Bidding Document
5.4.6 Invitations for Bids
5.4.7 Bid Evaluation: Step 1: The Eligibility Examination is conducted as follows, Step 2: The Completeness Examination is conducted as follows, Step 3: Responsiveness Examination, Step 4: Detailed Commercial Evaluation, Step 5: Financial Evaluation, Step 6: Post Qualification Bid Evaluation, Step 7: Extension of Bid Validity Period, Step 9: Rejection of All Bids, Step 10: Submission of Bid Evaluation Report
5.4.8 Approval of Bid and Awarding of Contract
5.4.9 Contract Agreement and Execution: a. Contract Agreement, b. Contract Execution
5.4.10 Contract Management: a. Risks in Contract, b. Breach of Contract, c. Force Majeure, d. Compensation Event, e. Claim, f. Variation order, g. Price Adjustment, h. Extension of time, i. Liquidity Damage (Default Compensation), j. Termination, k. Contract Remedies
5.4.11 Contract Completion and Warranty/Defect Liability Period

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7. What does 'Achieving Value for Money' in procurement mean?

Getting the cheapest products available

Obtaining the best combination of cost and quality over the product's lifecycle

Spending as much as possible

Procuring goods without considering the budget

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8. Which entity in Nepal has the authority to exempt procurements from the operation of the Public Procurement Act 2063?

Private Companies

Government of Nepal

Public Enterprises

Local Governments

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9. When is the International Competitive Bidding method applicable?

When goods are available domestically at competitive prices

When no bids are submitted in response to NCB

When goods are to be procured from local suppliers only

When the estimated value is below two million Rupees

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10. What principle in public procurement promotes fair treatment of all bidders regardless of their size, ownership, or location?

Achieving Transparency

Fair Dealing

Encouraging Competition

Providing Equal Access

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11. Which method is preferred for the procurement of Consultancy Services?

National Competitive Bidding

Quality and Cost Based Selection

Direct Procurement Method

International Competitive Bidding

5.5 Procurement Process methods for Consulting Service:
a. Quality Based Selection (QBS) Method:
b. Quality and Cost Based Selection (QCBS) Method:
c. Fixed Budget Selection Method (FBS):
d. Least Cost Selection Method (LCS):

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12. When is the Sealed Quotations method used?

For high-value goods and services

For procurement when the estimated value is relatively low

For emergency procurements only

For international procurements

Sealed Quotations apply when the estimated value of Goods, Construction works or services are less than two million Rupees.

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13. Which method allows procurement without a formal tendering process?

National Competitive Bidding

Limited Tendering Method

Direct Procurement Method

Sealed Quotations

Direct procurement method is allowed,
○ when the estimated value of Goods or Construction works are less than one million Rupees and when the estimated value of Consultancy service is less than five hundred thousand Rupees.
○ when only one supplier or construction entrepreneur or consultant or service provider has the technical efficiency or capacity to fulfill the procurement requirement, or
○ when only one supplier has the exclusive right to supply the goods to be procured and no other appropriate alternative is available, or
○ when additional goods or services of proprietary nature is to be procured from the existing supplier or consultant or service provider, or
○ when the most necessary construction works, goods or consultancy services or other services not included in the initial contract due to failure to foresee and difficult to be completed by separating from the initial contract due to technical or financial reasons, is to be procured, or
○ when the service of a particular consultant with his unique qualifications is immediately needed for the concerned work or where the service of same
consultant is essential, or
○ for the procurement of goods, services, and works of very urgent and essential nature

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14. In public procurement, what does 'Bid Evaluation' entail?

Conducting a market survey

Analyzing and comparing bids to determine the most advantageous

Issuing tender documents

Contract award

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446

15. What is the role of the Procurement Monitoring Office?

To issue tenders

To monitor and evaluate procurement processes and outcomes

To procure goods for the government

To provide consultancy services

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447

16. Which principle requires procurement processes to be open to scrutiny by the public and stakeholders?

Fair Dealing

Achieving Transparency

Promoting Competition

Achieving Value for Money

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17. What does the term 'Bid Security' refer to?

A guarantee that a bid will be submitted

A deposit made to ensure a bidder does not withdraw their bid

Payment made upon winning a contract

Insurance for goods procured

Bid security is required to ensure bidders' commitment, protect the buyer from default, and support fair competition in the procurement process.

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18. Which method involves negotiations with a single supplier without competitive bidding?

National Competitive Bidding

Limited Tendering Method

Direct Procurement Method

Sealed Quotations

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450

19. In the context of public procurement, what is 'Contract Management'?

Issuing tenders

Monitoring and administering a contract to ensure its successful completion

Submitting bids

Preparing technical specifications

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20. What is the maximum validity period for bid security?

30 days

45 days

60 days

90 days

Bid validity period: In setting out the bid-validity period shall be ninety days to one hundred and twenty days. PE shall have to conclude procurement contract within the bid validity period.

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21. What is the main objective of the procurement plan?

To minimize the number of bidders

To ensure all procurement activities are planned and executed efficiently

To restrict competition

To increase procurement costs

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22. Which entity has the final authority to approve procurement plans in Nepal?

The procurement officer

The head of the procurement entity

The Procurement Monitoring Office

The Government of Nepal

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23. What is the primary responsibility of a Procurement Committee?

To draft tender documents

To evaluate bids and recommend awards

To monitor contract execution

To approve procurement plans

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24. What does 'Local Competitive Bidding' refer to?

International procurement processes

Procurement restricted to local suppliers and contractors

Emergency procurement procedures

Procurement for goods available in the local market only

Local competitive bidding is a procurement method where bids are solicited from eligible suppliers or contractors within a specific geographic area or locality.

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25. What is meant by 'Procurement Cycle'?

The duration a contract is valid

The process from identifying a need to the final delivery and payment

The time it takes to issue a tender

The period for evaluating bids

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26. Which procurement method is not suitable for complex goods and services?

International Competitive Bidding

National Competitive Bidding

Sealed Quotations

Direct Procurement

Sealed Quotations applies when the estimated value of Goods, Construction works or services are less than two million Rupees,

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458

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27. What does 'Procurement Entity' mean?

An individual vendor

Any government body involved in procurement activities

The procurement officer

A private company

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28. What is the purpose of the 'Pre-qualification' process?

To invite bids

To select potential bidders who are qualified to execute contracts

To finalize procurement plans

To issue procurement notices

A pre-qualification document is a standardized document prepared by the Public Procurement Monitoring Office (PPMO) and used by public entities to assess the qualifications of potential bidders for construction works before allowing them to participate in the actual bidding process. It ensures that only capable and qualified contractors are invited to bid, enhancing the efficiency and success of the procurement process.
The pre-qualification document is asked specifically for construction works. After Approval of the Procurement Plan - the preparation and publication process begins only after the procurement plan is approved. The Procurement Unit shall be responsible for selling of pre-qualification document and bid document. This document required for even before the Bid Document Preparation and Publication of Invitation for Bid. This Pre-qualification Process serves to filter and ensure only qualified bidders are invited to submit their bids.

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29. Which document is essential for informing suppliers of procurement opportunities?

Contract Award Notice

Procurement Plan

Bid Evaluation Report

Invitation to Bid

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30. What is the key objective of conducting a 'Market Survey' in procurement?

To determine the estimated cost of procurement

To identify potential suppliers and their capabilities

To finalize the contract terms

To restrict competition

PE should study on the similar nature of procurement proceedings/ contracts in practice prevailing in the market in order to resolve the various technical matters pertaining to procurement contract and to ascertain the availability of supplier,

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31. Which procurement method is primarily used for emergency procurements?

International Competitive Bidding

Limited Tendering Method

Direct Procurement Method

National Competitive Bidding

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32. In which scenario is the 'Limited Tendering Method' applicable?

When goods and services are available from multiple suppliers

For high-value procurements only

When only a few suppliers are qualified to provide the required goods or services

For international procurements

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464

33. Which aspect of public procurement aims to obtain the best possible outcome for the money spent?

Fair Dealing

Promoting Competition

Achieving Value for Money

Achieving Transparency

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465

34. What is the primary role of the 'Bid Evaluation Committee'?

To approve the procurement plan

To evaluate and compare bids based on predetermined criteria

To issue tenders

To negotiate contract terms

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466

35. Which document outlines the terms, conditions, and requirements for a procurement contract?

Bid Security

Tender Document

Procurement Plan

Market Survey Report

A tender document is a comprehensive set of documents issued by a procuring entity outlining the specifications, terms, conditions, and evaluation criteria for a project, inviting suppliers or contractors to submit bids for its execution. Yes, the tender document is typically sent out along with the invitation for bid to provide potential bidders with all the necessary information and requirements for submitting their proposals.

ShambhuPaudelM5C2##

467

1.00

36. What is 'Contract Performance Security'?

A deposit made by bidders to ensure they do not withdraw their bids

A guarantee to ensure the successful completion of the contract

Payment made upon winning a contract

Insurance for goods procured

Contract performance security is a financial guarantee provided by the contractor to the procuring entity to ensure the fulfillment of contractual obligations and to cover potential losses in case of contractor default or non-performance.

ShambhuPaudelM5C2#

468

1.00

37. Which procurement process involves analyzing the life-cycle cost of goods and services?

Direct Procurement

Quality and Cost Based Selection

Bid Evaluation

Cost Estimation

ShambhuPaudelM5C2

469

38. What principle ensures that all suppliers have an equal opportunity to participate in procurement processes?

Achieving Value for Money

Fair Dealing

Promoting Competition

Achieving Transparency

ShambhuPaudelM5C2

470

39. Which procurement method is typically used for high-value, complex contracts?

National Competitive Bidding

Sealed Quotations

Direct Procurement Method

International Competitive Bidding

ShambhuPaudelM5C2#

471

1.00

40. What does 'Post-qualification' refer to in the procurement process?

Evaluating bids after they are submitted

Verifying the qualifications of the lowest evaluated bidder before the award

Issuing the contract award notice

Preparing the procurement plan

ShambhuPaudelM5C2##

472

1.00

41. What is the main objective of the Procurement Monitoring Office?

To oversee the issuance of tenders

To monitor and evaluate procurement activities and ensure compliance with procurement laws

To provide procurement training

To manage the procurement of goods and services

ShambhuPaudelM5C2

473

42. Which procurement method involves soliciting bids from a limited number of suppliers?

National Competitive Bidding

Limited Tendering Method

Direct Procurement Method

Sealed Quotations

ShambhuPaudelM5C2

474

43. What does 'Achieving Transparency' in procurement entail?

Ensuring procurement processes are kept secret

Making procurement processes open to scrutiny and ensuring accountability

Restricting information to key stakeholders only

Reducing the number of bidders

ShambhuPaudelM5C2

475

44. Which document is issued to the successful bidder to formalize the procurement contract?

Bid Security

Letter of Intent

Contract Award Notice

Performance Security

ShambhuPaudelM5C2

476

45. What is the purpose of a 'Bid Opening' ceremony?

To receive bids from suppliers

To publicly open and read out all bids received

To negotiate contract terms with bidders

To finalize the procurement plan

ShambhuPaudelM5C2

477

46. Which procurement principle requires that all potential suppliers are treated equally?

Achieving Value for Money

Fair Dealing

Achieving Transparency

Promoting Competition

ShambhuPaudelM5C2#

478

1.00

47. What is a 'Tender Document'?

A document issued to invite suppliers to bid

A contract agreement

A performance bond

A procurement plan

ShambhuPaudelM5C2#

479

1.00

48. Which method is used when a procurement entity needs to procure proprietary goods or services from a specific supplier?

National Competitive Bidding

International Competitive Bidding

Direct Procurement Method

Sealed Quotations

ShambhuPaudelM5C2

480

49. What does 'Bid Validity Period' refer to?

The duration within which bids must be submitted

The time period for which a bid must remain valid

The time taken to evaluate bids

The period for contract performance

ShambhuPaudelM5C2##

481

1.00

50. What is the role of the 'Procurement Unit' within a procurement entity?

To issue contracts

To manage and oversee all procurement activities

To monitor the performance of contractors

To handle disputes with suppliers

ShambhuPaudelM5C2

482

51. Which principle in public procurement aims to obtain the best possible outcome for the money spent?

Achieving Value for Money

Fair Dealing

Promoting Competition

Achieving Transparency

ShambhuPaudelM5C2

483

52. Which entity in Nepal is responsible for approving procurement plans?

Procurement Monitoring Office

Government of Nepal

Head of the Procurement Entity

Public Enterprises

ShambhuPaudelM5C2

484

53. What does 'Cost Estimation' involve in the procurement process?

Negotiating prices with suppliers

Preparing a detailed estimate of the costs associated with a procurement activity

Finalizing contract terms

Conducting a market survey

ShambhuPaudelM5C2

485

54. Which procurement method is typically used for procuring consulting services?

Direct Procurement Method

Quality and Cost Based Selection

Sealed Quotations

National Competitive Bidding

ShambhuPaudelM5C2

486

55. What is a 'Market Survey' in the context of procurement?

A method to evaluate bids

An assessment to determine potential suppliers and prevailing market conditions

A process for approving procurement plans

An analysis of contract performance

ShambhuPaudelM5C2

487

56. What does 'Public Procurement' refer to?

Procurement activities conducted by private companies

The process of acquiring goods, services, and works by government entities

Procurement of goods for resale

International procurement activities

ShambhuPaudelM5C2

488

57. Which procurement method involves competition among local suppliers only?

International Competitive Bidding

National Competitive Bidding

Direct Procurement Method

Limited Tendering Method

Limited Tendering method may be applied for when goods or services are available from limited and limited number of manufacturers or suppliers or service providers, competitions are made between only these manufacturers or suppliers or service providers

ShambhuPaudelM5C2##

489

1.00

58. What is the primary aim of the Public Procurement Act 2063?

To encourage international procurement

To ensure transparency, fairness, and competition in public procurement

To reduce procurement costs

To limit the number of suppliers

ShambhuPaudelM5C2

490

59. What is 'Bid Evaluation'?

The process of preparing tender documents

The process of analyzing and comparing bids to select the most advantageous offer

The finalization of contract terms

The submission of bids

ShambhuPaudelM5C2

491

60. Which principle in public procurement aims to ensure that the procurement process is open and transparent?

Achieving Value for Money

Fair Dealing

Promoting Competition

Achieving Transparency

ShambhuPaudelM5C2

492

61. Which procurement method is used for high-value contracts and involves an open invitation to bid?

National Competitive Bidding

International Competitive Bidding

Direct Procurement Method

Sealed Quotations

ShambhuPaudelM5C2#

493

1.00

62. What does 'Contract Management' involve?

Issuing tenders

Monitoring and administering a contract to ensure successful completion

Submitting bids

Preparing technical specifications

ShambhuPaudelM5C2

494

63. What is the main purpose of 'Pre-qualification' in procurement?

To select the successful bidder

To determine which bidders are qualified to perform the work

To finalize the procurement plan

To issue procurement notices

ShambhuPaudelM5C2

495

64. What is the role of the 'Bid Evaluation Committee'?

To issue procurement plans

To evaluate and compare bids based on predetermined criteria

To negotiate contracts

To approve procurement activities

ShambhuPaudelM5C2

496

65. What is a 'Performance Security'?

A deposit to ensure a bidder does not withdraw their bid

A guarantee that ensures the successful completion of the contract

Payment made upon winning a contract

Insurance for procured goods

ShambhuPaudelM5C2

497

66. Which procurement principle requires all suppliers to have an equal chance to compete for contracts?

Achieving Value for Money

Fair Dealing

Achieving Transparency

Promoting Competition

ShambhuPaudelM5C2

498

67. What is the 'Bid Validity Period'?

The time within which bids must be submitted

The time period during which a bid must remain valid and binding

The period for evaluating bids

The duration of the procurement contract

ShambhuPaudelM5C2

499

68. Which entity is responsible for overseeing public procurement processes in Nepal?

The Procurement Monitoring Office

The Ministry of Finance

Local Government Bodies

Private Enterprises

ShambhuPaudelM5C2

500

69. What is the purpose of the 'Procurement Plan'?

To restrict the number of bidders

To ensure that procurement activities are planned and executed efficiently

To reduce procurement costs

To minimize competition

ShambhuPaudelM5C2

501

70. Which procurement method is used for procuring goods or services urgently needed?

National Competitive Bidding

International Competitive Bidding

Direct Procurement Method

Sealed Quotations

ShambhuPaudelM5C2

502

71. What does 'Contract Award' mean in the procurement process?

The issuance of a tender

The selection of the winning bidder and formalization of the procurement contract

The submission of bids

The evaluation of bids

ShambhuPaudelM5C2

503

72. Which principle requires that procurement processes be fair and unbiased?

Achieving Value for Money

Fair Dealing

Achieving Transparency

Promoting Competition

ShambhuPaudelM5C2

504

73. What is the 'Limited Tendering Method'?

A procurement method used for international procurements

A method that involves soliciting bids from a limited number of suppliers

A process for emergency procurements

A method used for high-value contracts only

ShambhuPaudelM5C2

505

74. What does 'Achieving Value for Money' mean in procurement?

Obtaining the cheapest products available

Ensuring the best combination of cost, quality, and sustainability over the lifecycle of the product

Spending as little as possible

Procuring goods without considering the budget

ShambhuPaudelM5C2

506

75. Which procurement method involves soliciting bids through open competition?

National Competitive Bidding

Limited Tendering Method

Direct Procurement Method

Sealed Quotations

ShambhuPaudelM5C2

507

76. What is the main objective of 'Contract Performance Monitoring'?

To issue tenders

To ensure that the contract is executed according to the agreed terms and conditions

To evaluate bids

To prepare technical specifications

ShambhuPaudelM5C2

508

77. What is 'Bid Security'?

A deposit made to ensure a bidder does not withdraw their bid

Payment made upon winning a contract

A guarantee for contract performance

Insurance for procured goods

ShambhuPaudelM5C2

509

78. Which procurement method is used when goods and services are available from a limited number of suppliers?

National Competitive Bidding

Limited Tendering Method

Direct Procurement Method

International Competitive Bidding

ShambhuPaudelM5C2

510

79. What is the role of the 'Procurement Monitoring Office'?

To issue procurement contracts

To monitor and evaluate procurement activities and ensure compliance with laws

To manage the procurement of goods and services

To provide procurement training

ShambhuPaudelM5C3

511

80. What does 'Pre-qualification' ensure in the procurement process?

That only qualified bidders are allowed to submit bids

The issuance of the contract

The approval of the procurement plan

The finalization of contract terms

ShambhuPaudelM5C3

512

81. Which document is used to invite suppliers to submit bids?

Contract Award Notice

Invitation to Bid

Bid Evaluation Report

Performance Security

ShambhuPaudelM5C3

513

82. What does 'Cost Estimation' involve?

Conducting a market survey

Preparing a detailed estimate of the costs associated with a procurement activity

Finalizing contract terms

Negotiating prices with suppliers

ShambhuPaudelM5C3

514

83. What is the primary responsibility of a 'Procurement Committee'?

To draft tender documents

To evaluate bids and recommend awards

To monitor contract execution

To approve procurement plans

ShambhuPaudelM5C3#

515

1.00

84. What is the 'Bid Validity Period'?

The duration within which bids must be submitted

The time period during which a bid must remain valid and binding

The period for evaluating bids

The duration of the procurement contract

ShambhuPaudelM5C3

516

85. What is the main purpose of a 'Market Survey' in procurement?

To restrict competition

To identify potential suppliers and their capabilities

To finalize contract terms

To determine the estimated cost of procurement

ShambhuPaudelM5C3#

517

1.00

86. Which procurement method involves competition among local suppliers only?

International Competitive Bidding

National Competitive Bidding

Direct Procurement Method

Limited Tendering Method

ShambhuPaudelM5C3

518

87. What does 'Post-qualification' refer to in the procurement process?

Evaluating bids after they are submitted

Verifying the qualifications of the lowest evaluated bidder before the award

Issuing the contract award notice

Preparing the procurement plan

ShambhuPaudelM5C3

519

88. What is the 'Procurement Cycle'?

The time taken to issue a tender

The process from identifying a need to the final delivery and payment

The duration a contract is valid

The period for evaluating bids

ShambhuPaudelM5C3

520

89. Which entity in Nepal has the authority to exempt procurements from the operation of the Public Procurement Act 2063?

Private Companies

Government of Nepal

Public Enterprises

Local Governments

ShambhuPaudelM5C3

521

90. What does 'Contract Management' involve?

Issuing tenders

Monitoring and administering a contract to ensure successful completion

Submitting bids

Preparing technical specifications

ShambhuPaudelM5C3

522

91. Which procurement method is preferred for the procurement of Goods, Works, and Other services according to the Public Procurement Act?

Sealed Quotations

Direct Procurement

International Competitive Bidding

National Competitive Bidding

ShambhuPaudelM5C3

523

92. What is the 'Performance Security'?

A deposit made to ensure a bidder does not withdraw their bid

Payment made upon winning a contract

A guarantee that ensures the successful completion of the contract

Insurance for procured goods

ShambhuPaudelM5C3

524

93. What is the main objective of the Public Procurement Act 2063 (PPA)?

To encourage private procurement

To regulate public procurement ensuring transparency and fairness

To support international procurement only

To reduce the number of bidders

ShambhuPaudelM5C3

525

94. Which principle ensures that procurement processes must be transparent to ensure fairness and accountability?

Promoting Competition

Achieving Value for Money

Achieving Transparency

Fair Dealing

ShambhuPaudelM5C3

526

95. What method is preferred for the procurement of Consultancy Services?

National Competitive Bidding

Quality and Cost Based Selection

Direct Procurement Method

International Competitive Bidding

ShambhuPaudelM5C3

527

96. Which procurement method is used for high-value contracts and involves an open invitation to bid?

National Competitive Bidding

International Competitive Bidding

Direct Procurement Method

Sealed Quotations

ShambhuPaudelM5C3

528

97. What does 'Contract Award' mean in the procurement process?

The issuance of a tender

The selection of the winning bidder and formalization of the procurement contract

The submission of bids

The evaluation of bids

ShambhuPaudelM5C3

529

98. Which principle requires that procurement processes be fair and unbiased?

Achieving Value for Money

Fair Dealing

Achieving Transparency

Promoting Competition

ShambhuPaudelM5C3

530

99. Which method allows procurement without a formal tendering process?

National Competitive Bidding

Limited Tendering Method

Direct Procurement Method

Sealed Quotations

ShambhuPaudelM5C3

531

100. In public procurement, what does 'Bid Evaluation' entail?

Conducting a market survey

Analyzing and comparing bids to determine the most advantageous

Issuing tender documents

Contract award

ShambhuPaudelM5C3#

532

1.00

101. What is the main purpose of the 'Procurement Plan'?

To restrict the number of bidders

To ensure that procurement activities are planned and executed efficiently

To reduce procurement costs

To minimize competition

ShambhuPaudelM5C3

533

102. Which procurement method is used for procuring goods or services urgently needed?

National Competitive Bidding

International Competitive Bidding

Direct Procurement Method

Sealed Quotations

ShambhuPaudelM5C3

534

103. What is the role of the 'Bid Evaluation Committee'?

To issue procurement plans

To evaluate and compare bids based on predetermined criteria

To negotiate contracts

To approve procurement activities

ShambhuPaudelM5C3

535

104. What does 'Achieving Value for Money' mean in procurement?

Obtaining the cheapest products available

Ensuring the best combination of cost, quality, and sustainability over the lifecycle of the product

Spending as little as possible

Procuring goods without considering the budget

ShambhuPaudelM5C3

536

105. What does 'Post-qualification' refer to in the procurement process?

Evaluating bids after they are submitted

Verifying the qualifications of the lowest evaluated bidder before the award

Issuing the contract award notice

Preparing the procurement plan

ShambhuPaudelM5C3

537

106. What is the main objective of 'Contract Performance Monitoring'?

To issue tenders

To ensure that the contract is executed according to the agreed terms and conditions

To evaluate bids

To prepare technical specifications

ShambhuPaudelM5C3

538

107. Which principle requires all suppliers to have an equal chance to compete for contracts?

Achieving Value for Money

Fair Dealing

Achieving Transparency

Promoting Competition

ShambhuPaudelM5C3

539

108. What is 'Bid Security'?

A deposit made to ensure a bidder does not withdraw their bid

Payment made upon winning a contract

A guarantee for contract performance

Insurance for procured goods

ShambhuPaudelM5C3

540

109. What is the 'Procurement Cycle'?

The time taken to issue a tender

The process from identifying a need to the final delivery and payment

The duration a contract is valid

The period for evaluating bids

ShambhuPaudelM5C3

541

110. What does 'Contract Management' involve?

Issuing tenders

Monitoring and administering a contract to ensure successful completion

Submitting bids

Preparing technical specifications

ShambhuPaudelM5C3

542

111. Which entity is responsible for overseeing public procurement processes in Nepal?

The Procurement Monitoring Office

The Ministry of Finance

Local Government Bodies

Private Enterprises

ShambhuPaudelM5C3

543

112. What does 'Pre-qualification' ensure in the procurement process?

That only qualified bidders are allowed to submit bids

The issuance of the contract

The approval of the procurement plan

The finalization of contract terms

ShambhuPaudelM5C3

544

113. What is the 'Bid Validity Period'?

The time within which bids must be submitted

The time period during which a bid must remain valid and binding

The period for evaluating bids

The duration of the procurement contract

ShambhuPaudelM5C3

545

114. What is the main objective of the Public Procurement Act 2063 (PPA)?

To encourage private procurement

To regulate public procurement ensuring transparency and fairness

To support international procurement only

To reduce the number of bidders

ShambhuPaudelM5C3

546

115. Which principle ensures that procurement processes must be transparent to ensure fairness and accountability?

Promoting Competition

Achieving Value for Money

Achieving Transparency

Fair Dealing

ShambhuPaudelM5C3

547

116. What method is preferred for the procurement of Consultancy Services?

National Competitive Bidding

Quality and Cost Based Selection

Direct Procurement Method

International Competitive Bidding

ShambhuPaudelM5C3

548

117. Which procurement method involves competition among local suppliers only?

International Competitive Bidding

National Competitive Bidding

Direct Procurement Method

Limited Tendering Method

ShambhuPaudelM5C3

549

118. What is the primary responsibility of a 'Procurement Committee'?

To draft tender documents

To evaluate bids and recommend awards

To monitor contract execution

To approve procurement plans

ShambhuPaudelM5C3#

550

1.00

119. What does 'Cost Estimation' involve?

Conducting a market survey

Preparing a detailed estimate of the costs associated with a procurement activity

Finalizing contract terms

Negotiating prices with suppliers

ShambhuPaudelM5C3

551

120. Which procurement method allows procurement without a formal tendering process?

National Competitive Bidding

Limited Tendering Method

Direct Procurement Method

Sealed Quotations

ShambhuPaudelM5C3

552

121. What is the purpose of a 'Market Survey' in the context of procurement?

A method to evaluate bids

An assessment to determine potential suppliers and prevailing market conditions

A process for approving procurement plans

An analysis of contract performance

ShambhuPaudelM5C3

553

122. What is the 'Performance Security'?

A deposit made to ensure a bidder does not withdraw their bid

Payment made upon winning a contract

A guarantee that ensures the successful completion of the contract

Insurance for procured goods

ShambhuPaudelM5C3

554

123. What is the 'Limited Tendering Method'?

A procurement method used for international procurements

A method that involves soliciting bids from a limited number of suppliers

A process for emergency procurements

A method used for high-value contracts only

ShambhuPaudelM5C3

555

124. What does 'Achieving Value for Money' mean in procurement?

Obtaining the cheapest products available

Ensuring the best combination of cost, quality, and sustainability over the lifecycle of the product

Spending as little as possible

Procuring goods without considering the budget

ShambhuPaudelM5C3

556

125. What is the 'Bid Validity Period'?

The duration within which bids must be submitted

The time period during which a bid must remain valid and binding

The period for evaluating bids

The duration of the procurement contract

ShambhuPaudelM5C3

557

126. Which entity in Nepal has the authority to exempt procurements from the operation of the Public Procurement Act 2063?

Private Companies

Government of Nepal

Public Enterprises

Local Governments

ShambhuPaudelM5C3

558

127. Which procurement method is typically used for procuring consulting services?

Direct Procurement Method

Quality and Cost Based Selection

Sealed Quotations

National Competitive Bidding

ShambhuPaudelM5C3

559

128. What is the 'Procurement Cycle'?

The time taken to issue a tender

The process from identifying a need to the final delivery and payment

The duration a contract is valid

The period for evaluating bids

ShambhuPaudelM5C3

560

129. What is the primary aim of the Public Procurement Act 2063?

To encourage international procurement

To ensure transparency, fairness, and competition in public procurement

To reduce procurement costs

To limit the number of suppliers

ShambhuPaudelM5C4

561

130. What does 'Bid Evaluation' entail?

Conducting a market survey

Analyzing and comparing bids to determine the most advantageous

Issuing tender documents

Contract award

ShambhuPaudelM5C4

562

131. What is the role of the 'Procurement Monitoring Office'?

To issue procurement contracts

To monitor and evaluate procurement activities and ensure compliance with laws

To manage the procurement of goods and services

To provide procurement training

ShambhuPaudelM5C4

563

132. Which procurement method involves soliciting bids through open competition?

National Competitive Bidding

Limited Tendering Method

Direct Procurement Method

Sealed Quotations

ShambhuPaudelM5C4

564

133. What is the purpose of the 'Procurement Plan'?

To restrict the number of bidders

To ensure that procurement activities are planned and executed efficiently

To reduce procurement costs

To minimize competition

ShambhuPaudelM5C4

565

134. What is the 'Performance Security'?

A deposit made to ensure a bidder does not withdraw their bid

Payment made upon winning a contract

A guarantee that ensures the successful completion of the contract

Insurance for procured goods

ShambhuPaudelM5C4

566

135. Which principle requires all suppliers to have an equal chance to compete for contracts?

Achieving Value for Money

Fair Dealing

Achieving Transparency

Promoting Competition

ShambhuPaudelM5C4

567

136. What is the 'Limited Tendering Method'?

A procurement method used for international procurements

A method that involves soliciting bids from a limited number of suppliers

A process for emergency procurements

A method used for high-value contracts only

ShambhuPaudelM5C4

568

137. What is 'Bid Security'?

A deposit made to ensure a bidder does not withdraw their bid

Payment made upon winning a contract

A guarantee for contract performance

Insurance for procured goods

ShambhuPaudelM5C4

569

138. What is the main objective of 'Contract Performance Monitoring'?

To issue tenders

To ensure that the contract is executed according to the agreed terms and conditions

To evaluate bids

To prepare technical specifications

ShambhuPaudelM5C4

570

139. Which principle ensures that procurement processes must be transparent to ensure fairness and accountability?

Promoting Competition

Achieving Value for Money

Achieving Transparency

Fair Dealing

ShambhuPaudelM5C4#

571

1.00

140. What is the 'Procurement Cycle'?

The time taken to issue a tender

The process from identifying a need to the final delivery and payment

The duration a contract is valid

The period for evaluating bids

ShambhuPaudelM5C4

572

141. What does 'Pre-qualification' ensure in the procurement process?

That only qualified bidders are allowed to submit bids

The issuance of the contract

The approval of the procurement plan

The finalization of contract terms

ShambhuPaudelM5C4

573

142. Which procurement method is used for high-value contracts and involves an open invitation to bid?

National Competitive Bidding

International Competitive Bidding

Direct Procurement Method

Sealed Quotations

ShambhuPaudelM5C4

574

143. What is the main purpose of a 'Market Survey' in procurement?

To restrict competition

To identify potential suppliers and their capabilities

To finalize contract terms

To determine the estimated cost of procurement

ShambhuPaudelM5C4

575

144. Which entity in Nepal has the authority to exempt procurements from the operation of the Public Procurement Act 2063?

Private Companies

Government of Nepal

Public Enterprises

Local Governments

ShambhuPaudelM5C4

576

145. What is 'Bid Security'?

A deposit made to ensure a bidder does not withdraw their bid

Payment made upon winning a contract

A guarantee for contract performance

Insurance for procured goods

ShambhuPaudelM5C4

577

146. What does 'Post-qualification' refer to in the procurement process?

Evaluating bids after they are submitted

Verifying the qualifications of the lowest evaluated bidder before the award

Issuing the contract award notice

Preparing the procurement plan

ShambhuPaudelM5C4

578

147. What is the role of the 'Bid Evaluation Committee'?

To issue procurement plans

To evaluate and compare bids based on predetermined criteria

To negotiate contracts

To approve procurement activities

ShambhuPaudelM5C4

579

148. Which principle requires that procurement processes be fair and unbiased?

Achieving Value for Money

Fair Dealing

Achieving Transparency

Promoting Competition

ShambhuPaudelMM5C4

580

149. What is the main objective of the Public Procurement Act 2063 (PPA)?

To encourage private procurement

To regulate public procurement ensuring transparency and fairness

To support international procurement only

To reduce the number of bidders

ShambhuPaudelMM5C4

581

150. Which procurement method involves soliciting bids through open competition?

National Competitive Bidding

Limited Tendering Method

Direct Procurement Method

Sealed Quotations

ShambhuPaudelMM5C4

582

(1) The term internal control was first coined by:

American Institute of Accountants in 1949

US Certified Public Accountants in 1949

Committee of Sponsoring Organizations of the Treadway Commission in 1992

International Organization for Standardization in 1949

BookM6C1

583

(2) Apart from Committee of Sponsoring Organization (COSO) which of the following agencies and framework are related to internal control

Canadian Institute of Chartered Accountants' (CICA's) Criteria of Control Framework (CoCo)

Institute of Chartered Accountant of England "Cadbury"

International Organization for Standardization (ISO)

All of above

BookM6C1

584

(3) COSO Internal Control-Integrated Framework comprises:

4 objectives, 5 components and 4 organizational levels

4 objectives, 5 components and 3 organizational levels

3 objectives, 5 components and 4 organizational levels

3 objectives, 5 components and 5 organizational levels

Objectives: Operations Objective, Reporting Objectives, Compliance Objectives
Components of Internal Control: Control Environment (5 Principles), Risk Assessment (4 Principles), Control Activities (3 Principles), Information and Communication (3 Principles), Monitoring Actitivies (2 Principles)
In total 17 Principles
Organizational Level: Entity, Division, Operating Unit, Function
Types of Internal Control: Preventive, Detective, Corrective
Internal Control Tools: Documentation, Structure, Records, Verification and Authorization, Supervision, Security, System

BookM6C1#*

585

1.00

(4) Each component of COSO framework contains several principles which are the requirements of each component. There are principles, in total.

There are 17 principles, in total, relating to the 5 components of internal controls.

BookM6C1#*

586

1.00

(5) As per Financial Procedure and Financial Accountability Act, 2076, each ministry and central agencies are required to constitute an Internal Control Committee which is chaired by:

Chief Accounting Officer (Secretary) or an officer nominated by him/her

Joint Secretary (Administration) or an officer nominated by Secretary

A person nominated by the departmental minister

None of above

Financial Procedure and Fiscal Accountability Act, 2076 and Rules, 2077 In Section 32, there is provision of Audit and Internal Control Committee which is responsible to oversee the implementation of internal control system and the report of internal audit. This committee is chaired by the Chief Accounting Officer (Secretary) or an officer nominated by him/her and includes other senior officials. The functions and duties of the committee are specified as below: ○ Performing activities of the own office or entity and underlying offices in efficient and economic manner and making them result-oriented ○ Reducing financial risks and making financial statements reliable ○ Settlement of irregularities pointed out by the audit and strengthening and making internal control system effective

BookM6C1

587

(6) As per Financial Procedure and Financial Accountability Act, 2076, internal audit of every office of the government of Nepal shall be audited by the:

Provincial Accounts Controller Office

Financial Comptroller General Office or by the District Treasury Controller Office prescribed by the FCGO

District Treasury Controller Office prescribed by the FCGO

All of above

BookM6C1#

588

1.00

(7) As per Financial Procedure and Financial Accountability Act, 2076, internal audit of every office of the Government of Nepal shall be conducted with due regard to the:

Regularity, economy, efficiency and effectiveness

Regularity and Compliance

Regularity, economy, efficiency, effectiveness and propriety

Financial only

BookM6C1

589

(8) As per Financial Procedure and Financial Accountability Act, 2076 and Regulation, 2077, Internal auditor shall conduct internal audit on:

Yearly basis

Six-monthly basis

Trimester basis

Quarterly

c. Internal auditor shall conduct internal audit on trimester basis and submit internal audit report specifying the matters observed by audit with recommendations for correction to the concerned office and chief of the entity.

BookM6C1#

590

1.00

(9) As per Code of Ethics for Internal Auditors, 2079 issued by FCGO, codes to be observed by the internal auditors include:

Integrity, Objectivity, Confidentiality, Competence, Independence and Professional Behavior

Integrity, Objectivity, Confidentiality, Competence, and Professional Behavior

Integrity, Confidentiality, Competence, and Professional Behavior

Integrity, Objectivity, Confidentiality, Competence and independence

BookM6C1

591

(10) International Professional Practices Framework (IPPF) is the conceptual framework on internal audit promulgated by the IIA which includes:

Mandatory guidance

Recommended guidance

Both; Mandatory guidance and Recommended guidance

None of above

BookM6C1

592

(11) As per Article 240 of the Constitution, the Auditor General is appointed by the:

President on the recommendation of the Prime Minister

President on the recommendation of the Parliamentary Hearing Committee

President on the recommendation of the Speaker of the House of the Representatives

President on the recommendation of the Constitutional Council

Article 240 of the Constitution of Nepal has made following provisions about the Auditor General. The Auditor General is appointed by the President on the recommendation of the Constitutional Council.

BookM6C1##

593

1.00

(12) As per Article 293 of the Constitution, the Auditor General is accountable and answerable to the:

Federal Legislature

Speaker of the House of the Representative

Public Accounts Committee

Constitutional Council

Under Article 293, the chief and officials of the constitutional bodies (including Auditor General) shall be accountable and answerable to the federal legislature. The respective committee of the House of Representatives may monitor and evaluate the functioning of the constitutional bodies including reports, other than that of the National Human Rights Commission, and issue necessary directives and suggestions.

BookM6C1##

594

1.00

(13) The performance audit shall, primarily, be conducted with due consideration given to the:

Regularity

Economy, Efficiency, and Effectiveness

Propriety

All of above

Under Section 33 of Financial Procedure and Fiscal Accountability Act, 2076, internal audit of transactions of every office of the Government of Nepal shall be audited by the FCGO or by the District Treasury Controller Office prescribed by the FCGO with due regard to the regularity, economy efficiency and effectiveness. The Chief of the Office is responsible for getting done the internal audit of his/her office.

BookM6C1#

595

1.00

(14) The corporate body where the government (three tiers) has more than 50 percent but less than 100 interest is audited by:

Auditor appointed by the General Meeting of the concerned body

Auditor General

Auditor appointed by the General Meeting of the concerned body with consultation to the Auditor General

Any Chartered Accountant of Registered Auditor holding COP

Audit of Corporate Bodies (Substantially Owned) - A corporate body may appoint an auditor and have its accounts audited by the Auditor subject to the principles specified by the Auditor General. In appointing an auditor, the corporate body shall consult the Auditor General. The concerned corporate body shall forward a copy of the report presented by the auditor appointed to the Office of the Auditor General, as well. If, from the report received, there appears to be any error in the accounts of such a corporate body, the Auditor General may give necessary directives to the concerned corporate body and the auditor in respect of such error, and it shall be the duty of the concerned body and auditor to abide by such directives. The concerned corporate body shall submit progress details of implementation, within the specified period by the Auditor General in respect of the matters indicated by the report received and the directives given thereon by the Auditor General.

BookM6C1

596

(15) The Nepal Government Auditing Standards (NGAS) is based on:

INTOSAI Framework of Professional Pronouncements (IFPP)

International Standards of Supreme Audit Institutions (ISSAIS)

Nepal Standards on Auditing (NSAS)

International Standards on Auditing (ISAS)

Under Section 29 of Audit Act, 2075, the Auditor General has a power to issue standards or directives. Consequently, the Auditor General has issued the auditing standards for public sector audits that are called Nepal Government Auditing Standards (NGAS). These standards are based on INTOSAI Framework of Professional Pronouncements (IFPP).

BookM6C1##

597

1.00

COSO Framework is basically developed for

a. Public Sector

b. Government Sector

c. Private Sector

d. a and b

SuwanThapaM6C1

598

Which of the following is not the categories of objective of internal control as per COSO Framework?

a. Accounting

b. Reporting

c. Compliance

d. Operations

Three categories of objectives - as per COSO framework, which the internal control attempts to achieve are: ● Operations objectives - These pertain to effectiveness and efficiency of an entity's operations, including operational and financial performance goals, and safeguarding assets against loss. ● Reporting Objectives - These objectives are relating to internal and external financial and non- financial reporting and may encompass reliability, timeliness, transparency, or other terms as set forth by regulators, recognized standards setters, or the entity's policies. ● Compliance Objectives - These pertain to adherence to the laws and regulations to which the entity is subject.

SuwanThapaM6C1

599

The principle of internal control- "Management Specifies suitable objectives" is related to internal control component:

a. Control Environment

b. Risk Assessment

c. Control Activities

d. Monitoring

SuwanThapaM6C1##

600

1.00

The principle of internal control- "Management should remediate identified internal control deficiencies on a timely basis" is related to internal control component:

a. Control Environment

b. Risk Assessment

c. Control Activities

d. Monitoring

SuwanThapaM6C1

601

The procedures that are designed to identify already existing problems falls under:

a. Preventive Control

b. Detective Control

c. Corrective Control

SuwanThapaM6C1

602

While designing and developing internal control system based on COS framework, entities shall consider:

a. 3 components 4 objectives 5 organizational structure

b. 4 components 5 objectives 3 organizational structure

c. 3 components 5 objectives 4 organizational structure

d. 3 components 3 objectives 3 organizational structure

SuwanThapaM6C1

603

FCGO should submit consolidated internal audit report to the finance minister within ________ every year.

a. Shrawan end

b. Mangsir end

c. Poush end

d. Kartik end

FCGO shall submit a consolidated internal audit report to the finance minister within Kartik at the end every year.

SuwanThapaM6C1##*

604

1.00

The work procedures of "Internal Audit Procedures, 2079, was approved on:

a. 11th Magh 2078

b. 11th Magh 2079

c. 11th Magh 2077

SuwanThapaM6C1#

605

1.00

The minimum age to be eligible to be an auditor general office is:

a. 35 years

b. 45 years

c. 55 years

d. 65 years

SuwanThapaM6C1

606

Public Sector audit does not include the following:

a. Performance Audit

b. Financial Audit

c. Compliance Audit

d. Propriety Audit

SuwanThapaM6C1#

607

1.00

Which of the following irregularity is "To be regularized" irregularity?

a. Evidence not submitted

b. Staff Advance

c. Non-Compliance

d. Mobilization Advance

SuwanThapaM6C1

608

The auditor general shall submit its annual report about its works to:

a. Parliament

b. President

c. Prime Minister

d. FCGO

SuwanThapaM6C1

609

Irregularities pointed by audits should be cleared by submitting evidences within _____ days of receipt of preliminary audit report.

a. 15 days

b. 21 days

c. 35 days

d. 3 months

SuwanThapaM6C1#

610

1.00

Which of the following document is not the guiding document developed by FCGO for internal audit?

a. Internal Audit Guidelines, 2079

b. Internal Audit Procedure, 2079

c. Internal Audit Handbook, 2078

d. Code of Ethics for internal auditor, 2079

SuwanThapaM6C1##

611

1.00

As per Constitution of Nepal, the auditor general is accountable and answerable to:

a. Public Accounts Committee

b. House of Representatives

c. Federal Legislature

d. Constitutional Council

SuwanThapaM6C1

612

1) Accountability presumes the existence of at least:

A) One who allocates responsibility

B) One who accepts responsibility

C) Only (a) above

D) Both (a) and (b)

BookM7C1

613

2) A well-defined financial accountability structure serves as the foundation for

Sound financial discipline

Achieve value-for-money

Reduce fiduciary risk

All of the above

BookM7C1

614

3) Financial Accountability Ecosystem includes

Process, procedure and system

Oversight agencies

Private sector and procedures

All of the above

BookM7C1

615

4) Financial Accountability provisions is not associated by

Public Debt Management Act, 2079

Foreign Investment and Technology Transfer Act, 2075

Public Procurement Act, 2063 and Regulation, 2064

National Natural Resource and Fiscal Commission Act, 2074

BookM7C1

616

5) As per Section 50 of Financial Procedure and Fiscal Accountability Act, 2076, the portfolio minister is not accountable for:

Selection of projects.

Preparing medium term expenditure framework

Proposing budget

Settlement of audit irregularities

5) As per Section 50 of Financial Procedure and Fiscal Accountability Act, 2076, the portfolio minister is not accountable for: a) Selection of projects. b) Preparing medium term expenditure framework c) Proposing budget d) Settlement of audit irregularities

BookM7C1##

617

1.00

6) As per House of Representatives, Regulation, 2079, the scope of Public Accounts Committee's work includes:

A) Public Accounts

B) Auditor General's report

C) Both (a) and (b) above

D) None of the above

BookM7C1

618

7) Which one of the following is not an oversight agency

National Vigilance Center

Financial Comptroller General Office

Office of the Auditor General

Public Accounts Committee

BookM7C1

619

8) Transparency enables the public institutions for

Ready access to required information to citizens

Encourages the openness in government's every functions

Timely, meaningful and reliable disclosures about financial performance

All of the above

BookM7C1

620

9) As per Financial Procedure and Financial Accountability Act, 2076, the Ministry of Finance shall make public the consolidated financial statements within:

Asoj end each year

Poush end each year

Magh end each year

Chaitra end each year.

BookM7C1##

621

1.00

10) Which of the following is not a citizen engagement

Public call of feedback on law formulation

Public call of feedback on Budget formulation

Publication of annual report by public institution

Provision of citizen budget

BookM7C1

622

11) Citizen budget means

Publication of annual budget by MoF

Providing annexes of financial information in budget speech

Allowing citizens to know about annual budget

Simplified, accessible version of a government's budget

BookM7C1##

623

1.00

12) Which of the following is a public hearing

Citizen Report Card

Community Score Card

Community meeting

User's committee hearing

BookM7C1

624

13) Public asset does not cover which of the followings

Public infrastructure

Road and public buildings

Trust Buildings

Heritage assets

BookM7C1

625

14) Public Investment Management Assessment (PIMA) is a comprehensive framework for

Assess infrastructure governance

Evaluate the procedures, tools for public infrastructure

Help identify reform priorities

All of the above

Recognizing the macro-criticality of infrastructure governance, the IMF's Public Investment Management Assessment (PIMA) is a comprehensive framework to assess infrastructure governance for countries at all levels of economic development. PIMAs evaluate the procedures, tools, decision-making, and monitoring processes used by governments to provide infrastructure assets and services to the public; help identify reform priorities, and devise practical steps for their implementation. Likewise, to address governance challenges surrounding infrastructure development and enhance the efficiency of infrastructure investments, the World Bank has introduced the Infrastructure Governance Assessment Framework, known as InfraGov. This framework aims to assist countries in optimizing their infrastructure investments and achieving better outcomes. The framework provides an overview of the governance that leads to quality infrastructure and offers resources and methodologies for conducting such an assessment of public investment. The aim is to provide actionable recommendations that result in concrete policy changes.

BookM7C1#

626

1.00

15) Which one of the following is contingent liability

Public debt

Domestic borrowing

Government guarantees

Pension liabilities

BookM7C1

627

What is financial accountability primarily understood as?

A) The relationship between the government and private entities

B) The relationship between citizens and the government

C) The relationship between government officials and regulatory bodies

D) The relationship between citizens and non-government organizations

SaugatKarkiM7C1

628

What does fiduciary risk involve?

A) Risk of funds being properly used and accounted for

B) Risk of funds not achieving value-for-money

C) Risk of funds being used for unintended purposes

D) Both B and C

SaugatKarkiM7C1

629

Which of the following is NOT a key component of the financial accountability ecosystem?

A) Government Entities

B) Oversight Agencies

C) Financial Accountability Board

D) Stakeholders

SaugatKarkiM7C1

630

What role do civil society organizations play in the financial accountability ecosystem?

A) They manage public funds

B) They advocate for financial integrity and provide oversight

C) They audit financial records

D) They enforce compliance

SaugatKarkiM7C1

631

What is the significance of using ICT tools in financial processes?

A) To increase manual intervention

B) To enhance transparency through accessible and real-time financial data

C) To reduce the need for audits

D) To complicate financial transactions

SaugatKarkiM7C1

632

Which article of the Nepalese Constitution mentions the obligation of the state to submit reports regarding the works of the government?

A) Article 52

B) Article 53

C) Article 294

D) Both A and B

The constitution of Nepal has made several provisions relating to financial accountability. Notable financial accountability provision in Constitution: ● Obligation of state and requirement of submission of report regarding works of the government (Article 52 and 53)
● Part 10 Federal Financial Procedures
● Part 16 Financial Procedures of Provinces
● Part 19 Local Financial Procedures
● Part 22 Auditor General
● Part 26 National Natural resources and Fiscal Commission
● Annual Report of Constitutional bodies (Article 294)

SaugatKarkiM7C1#

633

1.00

What does Part 10 of the Nepalese Constitution cover?

A) Financial Procedures of Provinces

B) Local Financial Procedures

C) Federal Financial Procedures

D) National Natural Resources and Fiscal Commission

SaugatKarkiM7C1##

634

1.00

What is the primary function of the Office of the Auditor General in Nepal?

A) To implement financial policies

B) To conduct audits ensuring public funds are used efficiently

C) To manage public funds

D) To enforce financial regulations

SaugatKarkiM7C1

635

What is the role of the National Vigilance Center in Nepal?

A) To conduct internal audits

B) To monitor and inspect government activities

C) To oversee budget preparation

D) To review financial regulations

SaugatKarkiM7C1

636

How many members does the Public Accounts Committee (PAC) consist of?

A) 25 members

B) 27 members

C) 30 members

D) 35 members

SaugatKarkiM7C1#

637

1.00

Who nominates the members of the Public Accounts Committee (PAC)?

A) The Prime Minister

B) The Speaker of the House

C) The President

D) The Chief Justice

SaugatKarkiM7C1

638

What is the primary focus of the Public Accounts Committee (PAC)?

A) Budget preparation

B) Financial oversight and scrutiny

C) Implementing financial policies

D) Conducting internal audits

SaugatKarkiM7C1

639

What is included in the scope of work for the Public Accounts Committee as per the House of Representatives Rules 2079?

A) Public Accounts

B) Auditor General’s report

C) Financial bills

D) Both A and B

SaugatKarkiM7C1#

640

1.00

Who is responsible for the appointment of secretariat of the Public Accounts Committee (PAC)?

A) The Secretary General

B) The Prime Minister

C) The President

D) The Speaker of the House

Rule 192 of the House of Representatives Rules, 2079 provides for the secretariat of the committee. The Secretariat of the PAC will be under the Secretariat of the Federal Parliament. There is a provision that the Secretary General shall appoint at least a gazetted first-class officer to act as secretary of the committee. However, it has also made provision that if there are not enough gazetted first class authorized employees, there will be no hindrance in appointing gazetted second class senior employees. The Secretary of the House of Representatives shall be the ex-officio Secretary of the Committee. The secretary of the committee may request necessary information from the relevant ministry, department or agency to assist in the functions and duties of the committee.

SaugatKarkiM7C1##

641

1.00

How many members does the Finance Committee have?

A) 25 members

B) 27 members

C) 30 members

D) 35 members

SaugatKarkiM7C1

642

What is the Finance Committee responsible for?

A) Implementing financial policies

B) Budget preparation

C) Financial oversight of MOF, NNRFC, Investment Board, and NPC

D) Conducting internal audits

SaugatKarkiM7C1#

643

1.00

What does the Finance Committee review as part of its responsibilities?

A) Financial regulations

B) Revenue and expenditure projections

C) Audit reports

D) Budget execution

SaugatKarkiM7C1#*

644

1.00

Who nominates the members of the Finance Committee?

A) The Prime Minister

B) The Speaker of the House

C) The President

D) The Chief Justice

SaugatKarkiM7C1#

645

1.00

What is the primary focus of the Public Finance Committee?

A) Financial management

B) Budget preparation

C) Financial oversight and accountability

D) Conducting external audits

SaugatKarkiM7C1

646

What does fiscal transparency in the public sector entail?

A) Confidential financial disclosures

B) Timely, meaningful, and reliable financial disclosures

C) Limited access to financial information

D) Restricted access to financial records

SaugatKarkiM7C1

647

Why is transparency important in public sector financial management?

A) It complicates financial processes

B) It minimizes the misuse of resources

C) It increases manual intervention

D) It restricts access to financial information

SaugatKarkiM7C1

648

What is the relationship between transparency and accountability?

A) They are unrelated

B) They are mutually reinforcing concepts

C) Transparency reduces accountability

D) Accountability limits transparency

SaugatKarkiM7C1

649

Which principle requires that the decisions and actions of public sector entities be open to scrutiny?

A) Accountability

B) Fiscal transparency

C) Confidentiality

D) Compliance

SaugatKarkiM7C1

650

What is necessary to achieve effective and efficient management of public resources?

A) Transparency only

B) Accountability only

C) Both transparency and accountability

D) Neither transparency nor accountability

SaugatKarkiM7C1

651

What does scrutiny involve in the context of financial accountability?

A) Simple review of financial documents

B) Detailed examination of financial reports and transactions

C) General observation of financial activities

D) Limited access to financial records

SaugatKarkiM7C1

652

Who typically conducts scrutiny in financial accountability?

A) Executive agencies

B) Audit institutions

C) Media organizations

D) Civil society organizations

SaugatKarkiM7C1

653

What does oversight involve in financial accountability?

A) Reviewing budget proposals

B) Implementing financial policies

C) Monitoring financial activities and ensuring compliance

D) Conducting internal audits

SaugatKarkiM7C1

654

What is the goal of scrutiny and oversight in financial accountability?

A) To complicate financial transactions

B) To ensure transparency and accountability in the use of public funds

C) To limit access to financial information

D) To reduce financial reporting

SaugatKarkiM7C1

655

What is the primary purpose of the Financial Procedures and Fiscal Accountability Act in Nepal?

A) To regulate tax collection

B) To manage public procurement

C) To provide guidelines for financial management and accountability

D) To conduct internal audits

SaugatKarkiM7C1

656

Which document sets out the rules and guidelines for the preparation and management of the budget in Nepal?

A) Constitution of Nepal

B) Financial Procedures Act

C) Auditor General's Report

D) National Financial Strategy

SaugatKarkiM7C1#*

657

1.00

Which body is responsible for monitoring compliance with the Financial Procedures Act in Nepal?

A) Executive agencies

B) Office of the Auditor General

C) Civil society organizations

D) Media organizations

SaugatKarkiM7C1

658

What is the ultimate goal of the Financial Procedures Act and Regulations?

A) To restrict financial activities

B) To ensure transparent and accountable financial management

C) To limit financial reporting

D) To manage external audits

SaugatKarkiM7C1

659

What is the primary purpose of audits in financial accountability?

A) To increase manual intervention

B) To ensure funds are used effectively and efficiently

C) To complicate financial transactions

D) To limit access to financial information

SaugatKarkiM7C1

660

Who typically conducts audits in the public sector?

A) Internal auditors only

B) External auditors only

C) Both internal and external auditors

D) Civil society organizations

SaugatKarkiM7C1

661

What is the role of the Office of the Auditor General in audit and reporting?

A) To conduct internal audits

B) To manage public funds

C) To oversee financial compliance and conduct audits

D) To implement financial policies

SaugatKarkiM7C1

662

Which reports are essential for ensuring transparency in financial management?

A) Confidential reports

B) Financial audit reports

C) Internal policy reports

D) Limited access reports

SaugatKarkiM7C2

663

What should be the characteristics of audit reports to ensure effective accountability?

A) Confidential and restricted

B) Timely, accurate, and publicly accessible

C) Limited and complex

D) Restricted and detailed

SaugatKarkiM7C2

664

What is one of the primary challenges in achieving financial accountability?

A) Excessive transparency

B) Inadequate oversight and scrutiny

C) Simple financial processes

D) Overabundance of audit reports

SaugatKarkiM7C2

665

Which of the following can hinder financial accountability?

A) Strong regulatory frameworks

B) Lack of transparency and accountability mechanisms

C) Effective financial management

D) Detailed financial reporting

SaugatKarkiM7C2

666

How can limited access to financial information affect accountability?

A) It enhances accountability

B) It minimizes misuse of resources

C) It restricts scrutiny and oversight

D) It ensures effective audits

SaugatKarkiM7C2

667

What impact does a lack of citizen engagement have on financial accountability?

A) Increases transparency

B) Reduces oversight

C) Enhances scrutiny

D) Ensures compliance

SaugatKarkiM7C2

668

Which factor is crucial for overcoming challenges in financial accountability?

A) Limited financial reporting

B) Enhanced transparency and accountability mechanisms

C) Restricted access to financial information

D) Simplified financial processes

SaugatKarkiM7C2

669

Which approach is essential for enhancing financial accountability?

A) Limiting financial audits

B) Strengthening regulatory frameworks and oversight mechanisms

C) Reducing financial reporting

D) Restricting access to financial information

SaugatKarkiM7C2

670

What role does technology play in enhancing financial accountability?

A) Complicates financial transactions

B) Increases manual intervention

C) Facilitates transparent and efficient financial processes

D) Limits financial reporting

SaugatKarkiM7C2

671

How can public awareness contribute to financial accountability?

A) Reducing scrutiny

B) Enhancing oversight and citizen engagement

C) Complicating financial processes

D) Limiting access to information

SaugatKarkiM7C2

672

Which strategy is effective in promoting financial transparency?

A) Restricting financial audits

B) Limiting oversight mechanisms

C) Reducing citizen engagement

D) Encouraging open and timely financial disclosures

SaugatKarkiM7C2

673

Which Act governs the financial relations between federal, provincial, and local governments in Nepal?

A) Public Procurement Act

B) Financial Procedures and Fiscal Accountability Act

C) Inter-government Fiscal Arrangement Act

D) Audit Act

SaugatKarkiM7C2##

674

1.00

Which entity investigates fraud cases in the financial accountability system in Nepal?

A) Internal Control and Audit Committee

B) Ministry of Finance

C) Commission on Investigation of Abuse of Authority

D) Public Accounts Committee

SaugatKarkiM7C2

675

What is the primary purpose of anti-corruption laws in the financial accountability ecosystem?

A) To increase government revenue

B) To prevent misuse of funds and ensure ethical financial practice

C) To simplify financial reporting

D) To allocate financial resources

SaugatKarkiM7C2

676

What is the responsibility of the FCGO according to Rule 101 of the Financial Procedure and Fiscal Responsibility Rules 2077?

A) To prepare the annual budget

B) To maintain government land records

C) To prepare a consolidated annual statement of government assets and inventory and submit it to the OAG

D) To conduct public procurement processes

Rule 101 of Financial Procedure and Fiscal Responsibility Rules 2077 provides that FCGO should prepare a consolidated annual statement of government assets and inventory and submit it to the OAG. Every office should maintain the record of government land and building in the format prescribed by OAG. The government assets and inventory are disposed of as per rule 106 of FPFRR. However, the land, building and fixed assets can not be disposed of. At the time of disposing the assets and inventory, the asset valuation is usually done through a committee proposed under the FPFRR, Rule 107 for central level entity, department in the coordination of the gazetted second-class officer assigned by the chief of the entity, one officer level representative from FCGO and one expert from any government agency who has a knowledge about assets and inventory.

SaugatKarkiM7C2#

677

1.00

Which rule of Financial Procedure and Fiscal Responsibility Rules 2077 provides that government assets and inventory are disposed of?

A) Rule 100

B) Rule 101

C) Rule 105

D) Rule 106

SaugatKarkiM7C2##*

678

1.00

Who coordinates the asset valuation committee for central level entities for the purpose of disposing off the assets, according to Rule 107 Financial Procedure and Fiscal Responsibility Rules?

A) Chief District Officer

B) Chief of the entity

C) A gazetted second-class officer assigned by the chief of the entity

D) An expert from a government agency

SaugatKarkiM7C2#

679

1.00

Which step is NOT part of the assets auction process?

A) Identify assets for disposal through regular assessments

B) Conduct asset valuation to determine market value

C) Obtain necessary approvals from relevant authorities

D) Record assets based on their historical cost

SaugatKarkiM7C2

680

Who should be part of the asset valuation committee for district level offices?

A) Chief of the office or officer assigned by him, a technical staff member assigned by Chief District Officer, and a representative of DTCO

B) Chief Accounting Officer, Ministry of Finance representative, and a public auditor

C) Local government official, procurement officer, and district judge

D) A committee of elected representatives

SaugatKarkiM7C2#

681

1.00

What must be done to ensure transparency during the asset disposal process?

A) Conduct a private sale to avoid publicity

B) Publish a public notice about asset disposal to invite potential buyers

C) Directly contact potential buyers without public notice

D) Limit the auction to internal government departments

SaugatKarkiM7C2

682

Which document provides the procedure for assets disposal in Nepal?

A) Public Procurement Act

B) Financial Procedure and Fiscal Responsibility Rules 2077

C) National Natural Resource and Fiscal Commission Act

D) Audit Act

Recording and valuation of assets provide one of the major backgrounds for assets accounting. It also provides adequate data for the cost to service delivery. It would provide more information on assets management. Public assets disposal is one of the crucial aspects, an entire section is provided in FPFAA Rules (Rule no 111). Assets disposal is updated in the assets register after completing the process provided in the FPFA rules.

SaugatKarkiM7C2

683

What is the final step in the asset disposal process?

A) Conducting asset valuation

B) Obtaining necessary approvals

C) Updating asset registers and inventories

D) Completing financial transactions

SaugatKarkiM7C2

684

The financing arrangement in which the related DP pays the project expenses before the loan or grant have been approved and becomes effective is known as:

Replenishment

Retroactive Financing

Direct Payment

Cash Loan

MrBhandariM3

685

Which of the following is NOT a component of the Government Accounting System in Nepal?

Budgetary Accounting

Financial Reporting

Performance Auditing

Market Analysis

MrBhandariM3

686

What is the significance of the “Consolidated Fund” in government accounting system?

It is used to manage government loans and advances.

It serves as the main fund into which all government revenues are deposited and from which all government expenditures are made.

It handles the pension funds of government employees.

It is a special fund for emergency expenses only

MrBhandariM3

687

What roles does PAC play in GON accounting system?

It audits government agencies.

It oversees the execution of the national budget.

It reviews audit reports submitted by the Office of the Auditor General and ensures accountability.

It manages the payroll system for government employees.

MrBhandariM3

688

If any confusion arises as to accounting forms/formats, economic codes or classification, which entity is mandated to clear such confusion:

OAG

FCGO

ASB

ICAN

MrBhandariM3

689

The classification and accounting of income and expenditure of three tiers is approved by:

ICAN

FCGO

OAG

MOFA

MrBhandariM3

690

1.00

What mechanism does GON use to monitor and control its budgetary expenditures?

Public Expenditure and Financial Accountability (PEFA) framework

International Financial Reporting Standards (IFRS)

Generally Accepted Accounting Principles (GAAP)

International Public Sector Accounting Standards (IPSAS)

MrBhandariM3

691

What is the primary duty of the Financial Comptroller General Office (FCGO) concerning the Federal Consolidated Fund?

To audit all financial transactions of the Government of Nepal.

To keep up-to-date accounts of the Federal Consolidated Fund and prepare an annual report.

To oversee internal audits and provide suggestions for economic discipline.

To classify projects to be carried out by the Federal, Province, and Local Levels.

MrBhandariM3

692

What is required for the release of the budget following the commencement of the Appropriation Act or a Vote on Accounts Act?

Approval from the Planning Commission.

A recommendation from the Internal Control and Audit Committee.

Amounts specified in the Schedule of the Appropriation Act based on approved budget lines and annual programs.

A detailed economic survey submitted by the Minister for Finance.

MrBhandariM3

693

Which of the following is a characteristic feature of the IMF-based Chart of Accounts in Nepal?

It separates financial transactions based on donor agencies

It unifies the classification of financial data across all levels of government

It excludes off-budget financial transactions

It limits the scope of financial reporting to annual budgets only

MrBhandariM3

694

OAG form 270-5 is related to which report?

Annual Financial Statement of Consolidated Fund

Annual Statement of Divisible Fund

Annual Report on Receipts and Payments (Budgetary entities)

Annual Report on Receipts and Payments (Extra-Budgetary entities)

MrBhandariM3

695

GBEs apply which standard for preparation and presentation of their financial statements?

NPSAS

NFRS

GAAP

IPSAS

MrBhandariM3

696

When GON issued NPSAS revised version, based on IPSAS 2017

2079.08.20

2078.08.20

2078.04.01

2079.04.01

MrBhandariM3

697

Which statement is not true with reference to revenue accounting

Accrued revenue is not accounted for

Accrued revenue is not accounted but recorded for reporting purposes

Advance revenue is not accounted for but recorded for reporting purposes

Advance revenue is accounted and reported accordingly

MrBhandariM3

698

1.00

What is the primary objective of Activity-Based Accounting?

To allocate costs based on traditional overhead rates

To identify activities and assign costs based on their actual consumption of resources

To simplify the budgeting process

To reduce the number of cost drivers

MrBhandariM3

699

The functions of government based on COFOG is mapped at activity level. How many sectors are there in COFOG?

MrBhandariM3

700

Depreciation on immovable properties of GON are accounted based on:

SLM method

WDV Method

Method not specified

None of the above

MrBhandariM3

701

As per Section 76 of Local Government Operations Act 2074, LGs should maintain accounts based on:

AG approved formats on recommendation of FCGO

Can develop independent accounting forms and formats

Not specifically mentioned

Not required to maintain accounts

MrBhandariM3

702

Which of the following is a primary objective of PEFA assessments?

o A) Maximizing revenue collection

o B) Enhancing budget transparency

o C) Restricting public expenditure

o D) Limiting external audits

MrBhandariM1

703

In PFM, what does the acronym "IFMIS" stand for?

o A) Integrated Financial Management Information System

o B) International Financial Monitoring and Inspection System

o C) Internal Fund Management Information Scheme

o D) Integrated Fund Management Information System

MrBhandariM1

704

Which entity is responsible for conducting PEFA assessments?

o A) World Bank

o B) International Monetary Fund (IMF)

o C) United Nations

o D) Country's Ministry of Finance

MrBhandariM1#

705

1.00

Which of the following are components typically assessed in a PEFA framework? (Select all that apply) o 1) Budget credibility o 2) Economic growth forecasts o 3) External debt sustainability o 4) Transparency of public finance

1, 3

1, 4

1, 3, 4

2, 4

MrBhandariM1#*

706

1.00

Which factors contribute to effective public financial management? (Select all that apply) o 1) Timely reporting o 2) Political favoritism o 3) Accountability mechanisms o 4) Complex bureaucratic procedures

1, 4

1, 3

2, 3, 4

1, 2, 3, 4

MrBhandariM1#

707

1.00

Which of the following are challenges not associated with PEFA assessments? (Select all that apply)

o A) Limited stakeholder engagement

o B) Over-reliance on external consultants

o C) Excessive budget transparency

o D) Lack of government ownership

MrBhandariM1

708

What are common objectives of PFM reforms? (Select all that apply) o 1) Increasing fiscal deficit o 2) Strengthening budget execution o 3) Reducing public debt o 4) Improving expenditure control

2, 4

1, 3

2, 3, 4

1, 2, 4

MrBhandariM1#

709

1.00

Which reform strategy in PFM is most likely to improve fiscal discipline and reduce wasteful expenditure?

o A) Implementing performance-based budgeting

o B) Increasing government subsidies

o C) Privatizing public services

o D) Limiting grants from DPs

MrBhandariM1

710

How does PEFA contribute to enhancing donor confidence in recipient countries' financial management?

o A) By reducing external audits

o B) By promoting budget transparency

o C) By limiting stakeholder engagement

o D) By increasing government subsidies

MrBhandariM1

711

A country's budget deficit has been consistently high. Which PFM strategy could help mitigate this issue?

o A) Increasing foreign aid dependence

o B) Implementing expenditure controls

o C) Privatizing state-owned enterprises

o D) Increasing taxation rates

MrBhandariM1

712

Who is responsible for coordinating and overseeing implementation of periodic plan at the federal level in Nepal?

o A) Ministry of Finance

o B) National Planning Commission

o C) Office of the Auditor General

o D) Public Procurement Monitoring Office

MrBhandariM1

713

The NNRFC is responsible for:

o A) Managing public procurement activities

o B) Conducting internal audits

o C) Distributing revenues among federal, provincial, and local governments

o D) Planning and executing annual budgets

MrBhandariM1

714

Who prepares and updates the Medium-Term Expenditure Framework (MTEF) in Nepal?

o A) Ministry of Finance

o B) National Planning Commission

o C) Provincial Planning Commission

o D) Office of the Auditor General

MrBhandariM1

715

Which entities use the Line Ministry Budget Information System (LMBIS) for budget preparation in Nepal? o 1) Line ministries o 2) Provincial governments o 3) Local level governments o 4) Public Procurement Monitoring Office

1, 2

1, 2, 4

1, 2, 3, 4

1, 3

MrBhandariM1#

716

Which system is used for cash and treasury management in Nepal?

o A) TSA

o B) CGAS

o C) SuTRA

o D) e-GP

MrBhandariM1

717

Which bodies are involved in implementing Integrated PFM Reforms Project (IPFMRP) in Nepal? o 1) National Planning Commission o 2) Ministry of Finance o 3) Public Procurement Monitoring Office o 4) Public Expenditure and Financial Accountability Secretariat

1, 2

1, 2, 4

2, 4

1, 2, 3, 4

MrBhandariM1#*

718

Which agency plays a central role in revenue and expenditure policy implementation and administration in Nepal, along with managing public debt?

o A) Ministry of Finance

o B) National Planning Commission

o C) Office of the Auditor General

o D) National Natural Resources Fiscal Commission

MrBhandariM1

719

During the budget preparation process in Nepal, which agency is responsible for setting the fiscal ceilings for line ministries and agencies?

o A) Ministry of Finance

o B) National Planning Commission

o C) Provincial Planning Commission

o D) Office of the Auditor General

MrBhandariM1#

720

1.00

A local level government in Nepal wants to conduct an internal audit but lacks an Internal Audit Section. Which entity can conduct this audit on behalf of the local level?

o A) District Treasury Controller Office (DTCO)

o B) Ministry of Finance (MoF)

o C) Office of the Auditor General (OAG)

o D) Provincial Treasury Controller Office (PTCO)

MrBhandariM1

721

What is one of the key objectives of using ICT systems in Nepalese Public Financial Management (PFM)?

o A) Enhancing budget transparency and accountability

o B) Minimizing the use of electronic payments

o C) Limiting the scope of inter-agency collaboration

o D) Reducing the number of government entities

MrBhandariM1

722

Which government agency oversees the implementation of the Treasury Single Account (TSA) in Nepal?

o A) Ministry of Finance

o B) Department of Custom

o C) National Planning Commission

o D) Public Accounts Committee

MrBhandariM1

723

What is the primary purpose of the Line Ministry Budget Information System (LMBIS) in Nepal?

o A) To manage public procurement processes

o B) To monitor budget execution in line ministries

o C) To regulate revenue collection from taxpayers

o D) To audit financial transactions at local governments

MrBhandariM1

724

Which system in Nepal facilitates electronic payments directly to vendors' bank accounts for budget expenditures?

o A) Public Debt Operation & Management System (DOMS)

o B) Integrated Tax System (IRD)

o C) Treasury Single Account (TSA)

o D) Revenue Management Information System (RMIS)

MrBhandariM1

725

Which systems are part of the support functions for assets and liabilities management in Nepal? o 1) Public Assets Management System (PAMS) o 2) Public Debt Operation & Management System (DOMS) o 3) Treasury Single Account (TSA) o 4) Nepal Audit Management System (NAMS)

1, 2

1, 4

1, 2, 4

2, 3

MrBhandariM1#

726

Which systems facilitate revenue receipt and collections management in Nepal? o 1) Revenue Management Information System (RMIS) o 2) Integrated Tax System (IRD) o 3) Nepal Audit Management System (NAMS) o 4) Sub-National Treasury Regulatory Application (SuTRA)

1, 2

1, 2, 3

1, 2, 3, 4

1, 2, 4

MrBhandariM1#

727

1.00

Which systems are involved in the external oversight of financial information in Nepal?
o 1) Nepal Audit Management System (NAMS)
o 2) Public Accounts Committee Management Information System (PACMIS)
o 3) Line Ministry Budget Information System (LMBIS)
o 4) Treasury Single Account (TSA)

1, 3

2, 4

1, 2

1, 2, 3

MrBhandariM1#*

728

1.00

How does the use of ICT systems contribute to improving fiscal discipline in Nepal?

o A) By decreasing tax evasion

o B) By promoting budget transparency and accountability

o C) By reducing the need for external oversight

o D) By centralizing financial management processes

MrBhandariM1

729

A federal agency in Nepal seeks to manage its non-financial assets effectively. Which system would be most appropriate for them to use?

o A) Public Assets Management System (PAMS)

o B) Treasury Single Account (TSA)

o C) Revenue Management Information System (RMIS)

o D) Nepal Audit Management System (NAMS)

MrBhandariM1

730

When was Nepal's first PEFA assessment conducted?

o A) 2005

o B) 2010

o C) 2015

o D) 2020

MrBhandariM1#*

731

1.00

Which organization provides technical support for Nepal's third PEFA assessment in 2022?

o A) Asian Development Bank

o B) International Monetary Fund

o C) World Bank

o D) United Nations Development Program

MrBhandariM1#

732

1.00

Which aspect of the PEFA Framework 2016 was newly introduced compared to previous versions?

o A) Public sector innovation

o B) Gender-responsive budgeting

o C) Management of assets and liabilities

o D) Agricultural subsidy management

The PEFA Framework 2016 came with a comprehensive upgraded version of the previous

published version of 2005 and 2011. It incorporates new and updated benchmarks on

international good practices and provides more information for evaluating public financial

management performance and its vital contribution to sustainable development. It introduced a

seventh pillar for assessing the management of assets and liabilities with covering additional

aspects of PFM performance analysis of government revenues with tax and non-tax and its

forecast. In this perspective

now

the Government of Nepal is well prepared to initiate the reform

programs as per the assessed PFM performance following new indicators and dimensions to

meet the appropriate PFM performances in the future through robust PFM reform strategy"

MrBhandariM1#*

733

1.00

Which documents/agreements are closely aligned with the PEFA program principles? o 1) Kyoto Protocol o 2) Paris Declaration on Aid Effectiveness o 3) Accra Agenda for Action o 4) Addis Ababa Action Agenda

1, 2

2, 3

2, 3, 4

1, 2, 4

MrBhandariM1#

734

1.00

Which supplementary assessments were conducted alongside Nepal's third PEFA assessment? o 1) Health Sector Performance Assessment o 2) Gender-Responsive Public Financial Management o 3) Climate Responsive Public Financial Management o 4) Infrastructure Development Impact Analysis

1, 2

2, 3, 4

1, 4

2, 3

MrBhandariM1#

735

1.00

What was the outcome of Nepal's third PEFA assessment in 2022?

o A) Significant decrease in budget deficits

o B) Integration of gender-responsive budgeting

o C) Establishment of new public sector enterprises

o D) Expansion of educational infrastructure

MrBhandariM1#

736

1.00

What does Nepal's PEFA assessment report highlight as a key strength of its PFM system?

o A) Adequate legislative oversight

o B) Robust legal and institutional framework

o C) Digital transformation initiatives

o D) Alignment with international standards

MrBhandariM1#

737

1.00

Which institution publishes the Government Finance Statistics Manual (GFSM)?

o A) World Bank

o B) IMF

o C) WTO

o D) OECD

MrBhandariM1#

738

1.00

What is emphasized as crucial for sustainable economic development in PFM?

o A) Predictable fiscal policies

o B) Effective public debt management

o C) Increased government spending

o D) Reduced taxation

MrBhandariM1

739

Which phases are part of the PFM cycle? o 1) Policy design o 2) External audit o 3) Risk management o 4) Budget execution

1, 2, 3, 4

1, 2, 3

1, 2, 4

2, 3, 4

MrBhandariM1#*

740

1.00

PFM’s integrated approach doesn’t encompass which of the following

o A) Envisioning of fiscal policy

o B) Re-engineering PFM Reforms

o C) Microeconomic Forecasting

o D) Complete budget cycle components

MrBhandariM1

741

PFM is commonly conceived as a cycle of following number of phases.

o A) 8

o B) 6

o C) 10

o D) 5

Planning, Budgeting, Executing, Accounting, Monitoring, Auditing

MrBhandariM1#

742

1.00

Which of the following doesn’t primarily fall under the phase of PFM Cycle?

o A) Policy/Strategy/Plan Preparation

o B) Inspection of Climatic Change

o C) External Scrutiny and Audit

o D) Monitoring/Evaluation

MrBhandariM1

743

Which of the following is not the key objective of PFM?

o A) Debt reduction of Public Entity

o B) Maintain aggregate fiscal discipline

o C) Ensure strategic allocation of resources

o D) Ensure efficient service delivery

MrBhandariM1

744

Which of the following is not the objective of PFM?

o A) Management of Trade deficit

o B) Transparency and accountability in government operation

o C) Strengthening internal control system

o D) Assist in safeguarding and utilization of public property

MrBhandariM1

745

PFM Systems are not composed of

o A) Side stream processes

o B) Upstream processes

o C) Midstream processes

o D) Downstream processes

MrBhandariM1

746

Process of Budget Execution falls under which function/process of PFM system

o A) Upstream

o B) Side stream

o C) Midstream

o D) None of the above

MrBhandariM1

747

Which one is the latest PEFA assessment done by Nepal and published on 30 April, 2024?

o A) 3rd

o B) 4th

o C) 2nd

o D) 5th

MrBhandariM1

748

The Consolidated fund has been established for which level of the government.

o A) Federal

o B) Provincial

o C) Local

o D) All of the above

MrBhandariM1

749

Which of the following body is responsible for just and equitable distribution of natural and fiscal resources among three tiers of government?

o A) FCGO

o B) NPC

o C) MOF

o D) NNRFC

MrBhandariM1

750

Which of the following serves as a principal law for planning, budget, formulating, executing, accounting, reporting and auditing?

o A) FPFA Act, 2019

o B) FPFA Regulation 2021

o C) Annual Appropriation Act

o D) Both A and B

MrBhandariM1

751

Which of the following coordinating function doesn’t rest with FCGO?

o A) Internal Control

o B) Budget Preparation and Execution

o C) Accounting

o D) Audit

MrBhandariM1

752

Which is the main focal agency to drive provincial level plans, policies and programs?

o A) Office of Chief of Province

o B) Provincial attorney general

o C) Provincial Planning Commission

o D) Province Assembly

MrBhandariM1

753

What is the main objective of Public Financial Management (PFM)?

o A) To increase government spending

o B) To reduce taxes

o C) To ensure performance, transparency, and accountability in the use of public money

o D) To privatize public services

MrBhandariM1

754

When did Nepal initiate its PFM reforms?

o A) 1980s

o B) 1990s

o C) 2000s

o D) 2010s

MrBhandariM1

755

What does PEFA stand for?

o A) Public Economic and Financial Accountability

o B) Public Efficiency and Financial Assessment

o C) Public Evaluation and Fiscal Analysis

o D) Public Expenditure and Financial Accountability

MrBhandariM1

756

When the first PEFA assessment report of Nepal was published?

o A) 2001

o B) 2005

o C) 2008

o D) 2010

MrBhandariM1#*

757

1.00

Which agency is the leading institution for PFM reform in Nepal?

o A) PEFA Secretariat

o B) Ministry of Finance

o C) Office of the Prime Minister

o D) National Planning Commission

MrBhandariM1#

758

1.00

The first phase of PFM reform strategy included how many development action plans?

o A) 113

o B) 147

o C) 205

o D) 250

MrBhandariM1

759

Which system is used in Nepal for optimizing cash management and tracking spending processes?

o A) Treasury Single Account (TSA)

o B) Revenue Management Information System (RMIS)

o C) Integrated Financial Management Information System (IFMIS)

o D) Financial Management Information System (FMIS)

MrBhandariM1

760

What does RMIS stand for?

o A) Resource Management Information System

o B) Revenue Management Information System

o C) Risk Management Information System

o D) Regulatory Management Information System

MrBhandariM1

761

The second phase of PFM reform strategy covers which years?

o A) 2010/11-2015/16

o B) 2015/16-2020/21

o C) 2016/17-2025/26

o D) 2017/18-2022/23

MrBhandariM1#

762

1.00

Which international standards are being progressively implemented for public sector accounting in Nepal?

o A) IFRS

o B) IPSAS

o C) GAAP

o D) NPSAS

MrBhandariM1

763

What year was the PEFA Secretariat established in Nepal?

o A) 2005

o B) 2008

o C) 2009

o D) 2010

MrBhandariM1#

764

What is the role of the Financial Comptroller General Office (FCGO) in Nepal's PFM system?

o A) To conduct audits

o B) To manage the treasury and oversee budget execution

o C) To collect taxes

o D) To develop financial regulations

MrBhandariM1

765

Which document outlined the detailed roadmap for Nepal’s interim IFMIS?

o A) PEFA Assessment Report

o B) PFM Reform Strategy

o C) IFMIS Study Report

o D) National Budget Plan

MrBhandariM1

766

How often are PEFA assessments conducted in Nepal?

o A) Annually

o B) Every two years

o C) Every three years

o D) Every five years

MrBhandariM1

767

Which of the following is not a key operation of the IFMIS?

o A) Budget preparation and execution

o B) Revenue collection

o C) Public procurement

o D) Cash forecasting

MrBhandariM1

768

What does CGAS stand for in Nepal's PFM system?

o A) Central Government Accounting System

o B) Comprehensive Government Accounting System

o C) Computerized Government Accounting System

o D) Common Government Accounting System

MrBhandariM1

769

Which agency is responsible for external audit in Nepal's public sector?

o A) Ministry of Finance (MoF)

o B) Office of the Auditor General (OAGN)

o C) PEFA Secretariat

o D) Financial Comptroller General Office (FCGO)

MrBhandariM1

770

What is the main purpose of the Treasury Single Account (TSA)?

o A) To manage the government’s debt

o B) To consolidate and optimize cash management

o C) To oversee public procurement

o D) To enforce tax collection

MrBhandariM1

771

Which phase of the PFM Reform Strategy recognized the importance of an integrated approach?

o A) First phase

o B) Second phase

o C) Third phase

o D) Fourth phase

MrBhandariM1

772

The PFM Reform Steering Committee is chaired by whom?

o A) Prime Minister

o B) Finance Minister

o C) Finance Secretary

o D) PEFA Secretary

MrBhandariM1#*

773

1.00

Which of the following is not a major PFM reform stakeholder institution at the federal level in Nepal?

o A) Ministry of Finance

o B) Office of the Prime Minister and Council of Ministers

o C) National Planning Commission

o D) Central Bank of Nepal

MrBhandariM1

774

What is the main focus of the Public Procurement Monitoring Office (PPMO)?

o A) To manage government debt

o B) To oversee and regulate public procurement

o C) To enhance audit processes

o D) To implement financial reporting standards

MrBhandariM1

775

What is one of the key achievements of the first phase of PFM reform strategy in Nepal?

o A) Establishment of the National Planning Commission

o B) Implementation of the Treasury Single Account (TSA)

o C) Privatization of public enterprises

o D) Reduction of national debt

MrBhandariM1

776

What is the role of the National Natural Resource and Fiscal Commission in Nepal's PFM system?

o A) To conduct audits

o B) To oversee public procurement

o C) To manage natural resources and fiscal policies

o D) To develop financial regulations

MrBhandariM1

777

What does NPSAS stand for?

o A) Nepal Public Sector Accounting Standards

o B) National Public Sector Audit Standards

o C) Nepal Private Sector Accounting Standards

o D) National Procurement Standards and Accounting System

MrBhandariM1

778

What is the primary purpose of the Integrated Financial Management Information System (IFMIS)?

o A) To streamline tax collection processes

o B) To manage public financial operations comprehensively

o C) To enhance procurement efficiency

o D) To reduce government expenditure

MrBhandariM1

779

Which organization supports the modernization of external audit in Nepal’s public sector?

o A) World Bank

o B) PEFA Secretariat

o C) Office of the Auditor General (OAGN)

o D) Ministry of Finance

MrBhandariM1

780

What does LMBIS stand for in the context of Nepal’s PFM?

o A) Local Management Budget Information System

o B) Line Ministry Budget Information System

o C) Long-term Management Budget Information System

o D) Legislative Ministry Budget Information System

MrBhandariM1

781

The IFMIS is envisioned to fully manage which of the following operations?

o A) Cash forecasting and liquidity management

o B) Human resource management

o C) Infrastructure development

o D) Environmental protection

MrBhandariM1

782

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