MIDTERM REVIEWER ON
GOVERNMENT ACCOUNTING
Budget Preparation
-It covers estimation of the government
revenues, the determination of budget
priorities and activities within the
constraints, imposed by available
revenues and borrowing limits, and the
translation of approved priorities and
activities into expenditure levels for a
budget year.
Budget Execution or Operation
-This aspect involves also the regulation
of funds release, the scheduling of
preferred activities, etc. the
responsibility for monitoring the budget
execution rest primarily with the DBM.
Section 29, Article VI of the 1987
Constitution
-"No money shall be paid out if the
Treasury except in pursuance of an
appropriation by law"
Budget Preparation
-The Budget preparation begins with the
issuance of a budget call issued by the
DBM in December. This Document
outlines the specific guidelines on the
preparation of the agency budget,
estimates to be submitted to the DBM.
The DBM, consolidates all budgets to
form a government-wide budget to be
submitted to the President for Final
approval before it will be forwarded to
the Congress.
Budget Accounting
-This aspect focuses on tracking,
monitoring and evaluation of
expenditures and performance.
-This is simply achieved by comparing
performance with predetermined plans
Budget Legislation and Authorization
-This procedure is a prerogative of the
congress which refers to the enactment
of the General Appropriations bill based
on the budget of receipts and
expenditures into appropriations act.
Appropriation
-It refers to an authorization made by
law or other legislative enactment,
directing the payment of goods and
services out of government funds under
specified condition or for special
purposes.
Allotment
-The authorization issued by the DBM to
the Agency, which allows it to incur
obligations, for specified amounts within
the legislative appropriations.
RAPAL (Registry of Appropriations
and Allotments)
-Upon approval and issuance of the
ABM and SARO. The DBM shall enter
the pertinent data on releases for each
government agency in RAPAL.
Agency Budget Matrix
-The official document used as the basis
in the release of the obligation Authority
Agency Budget Matrix
-ABM is prepared by appropriation
source and major programs and the
amounts are classified into:
-Not Needing Clearance - Notice of
Cash Allocation
-Needing Clearance- Special Allotment
Release Order (SARO) - Notice of Cash
Allocation upon request
RESPFA (Registry of Special Purpose
Funds Appropriation)
-The DBM maintains the registry to
maintain releases from Special Purpose
Fund
RENREP (Registry of NCA and
Replenishment)
-Upon receipt of the copy of the NCA
frim the DBM, the BTr shall enter it in
the RENREP.
-The transfer of Cash from it's Bank
Account to the appropriate MDS
accounts shall also be recorded
RANCA (Registry of Allotments and
NCA)
-The DBM shall maintain this registry for
the allotments and the NCA issued to
the Agency.
-The ______ shall be the control and
monitoring record of the DBM.
-The DBM shall furnish the BTr a copy
of the NCA
Record of Agency
-RAOCO
-RAOMO
-RAOPS
-RAOFE
RAOCO
-Registry of Allotment and Obligations
Capital Outlay
RAOMO
-Registry of Allotment and Obligations
Maintenance Operations and Other
Expenses
RAOPS
-Registry of Allotment and Obligations
Personal Services
RAOFE
-Registry of Allotment and Obligations
Financial Expenses
Expected Results
-Means services, products, or benefits
accruing to the public, estimated in
terms of performance measure or
targets
Resources
-Refers to the actual assets of any
agency of the government such as cash,
instruments representing or convertible
into money, receivables, land, building
as well as contingent assets such as
estimated revenues applying to the
current fiscal period not accrued or
collected and bonds authorized and
unissued.
Obligations
-Are the amounts which are committed
to be paid by the government which
arise from the acts of a duly authorized
administrative officer and which binds
the government to the immediate or
eventual payment of a sum of money
Program
-Refers to the functions and activities
necessary for the performance of a
major purpose for which a government
entity is establish
Internal Control
-Is the plan of the organization and all
the coordinate methods and measures
adopted within an organization or
agency to safeguard assets, check the
accuracy and reliability of its accounting
data, and encourage adherence to
prescribed managerial policies.
Cash Disbursement Ceiling
-Is a control Measure designed to
ensure that withdrawals from Treasury
shall be within the Treasury's capability
to honor such withdrawals
Project
-Means a compound of a program
covering a homogenous group of
activities that result in the
accomplishment of an identifiable output
Balanced Budget
-Is applied in the preparation of the
national budget, where the total
estimated income must be more than
the total estimated expenditures.
Continuing Appropriations
-Refers to a legislative authorization
which extends beyond one fiscal year
Performance Budget
-Is a plan or program of activities
together with costs of undertaking the
meet goals or targets which emphasize
on expected results.
National Budget
-Is the government estimate of its
income and expenditure
-It is what the government plans to
spend for its programs and projects and
where the money will come from.
Public Sector Accounting Standards
Board
-Assists the commission in formulating
and implementing the PPSAS where
PPSAS applies, in which case the PFRS
and relevant standards issued by the
Financial Reporting Standards Council,
Board of Accountancy and Professional
Regulation Commission shall apply.
Accounting Responsibility
-Emanates from the constitution, laws,
policies, rules and regulations
-The constitution mandates the keeping
of the general accounts of the
government, promulgation of the
accounting rules, and the submission of
reports covering the financial condition
and the operation of the government
Government Accounting
-One which encompasses the process
of analyzing, recording, summarizing
and communicating of all transactions,
involving the receipt and disposition of
government fund and property and
interpreting the results thereof.
Coverage of PPSAS
-NGAs
-LGUs
-GOCC not considered as GBE
NGAs
-National Government Agency
LGU's
-Local Government Unit
Government Owned and controlled Government Business Enterprise
corporation—— Government
-An Entity with the power to contract in
Business Enterprise
its own name
-GOCC not considered as GBE
-Has been assigned the financial and
Government offices charged with operational authority to carry on a
accounting responsibility business
-COA -Sells goods and services, in the normal
-DBM course of business, to other entities for
-BTr profit or full cost recovery
-Government agencies discharging the
-Not reliant on the continuing
functions of the government to enable it
government funding to be a going
to attain its commitments to the Filipino
concern
people
-Controlled by a public sector entity
COA
Commission on Audit
-Commission on Audit
-Keeps the general accounts of the
DBM
government
-Department of Budget and
-Promulgate accounting rules and
Management
regulations
-Submits annual report of the
BTr government, its subdivisions, agencies
and instrumentalities, including GOCC
-Bureau of Treasury
to the President and Congress
Objectives of the Government
-Has the exclusive authority, subject to
Accounting
the limitation in this article to define the
-To produce information concerning past scope of its audit and examination
operations and present conditions
-Promulgate accounting rules and
-To provide a basis for guidance for regulations
future operations
Department of Budget Management
-To provide for control of the acts of
-Responsible for the formulation and
public bodies and offices in the receipt,
implementation of the National Budget
disposition and utilization of funds and
with the goal of attaining our National
properties
socio economic plans and obligations
-To report on the financial position and
Bureau of Treasury
results of operations of government
agencies for the information and
guidance of all persons controlled
-Receive and keep national funds,
manage and control the disbursements
thereof
-Maintain accounts of financial
transactions of all national government
offices, agencies and instrumentalities
National Government Agencies
-Departments, bureaus, offices and
other instrumentalities of the National
Governementc including the Congress,
the Judiciary, the constitutional bodies,
state colleges and universities, and ther
self contained institutions and hospitals
are required by law to have accounting
units/ divisions/ departments
Double Entry Bookkeeping
-It is a system of bookkeeping where
every Journal entry to account requires
a corresponding and opposite entry to a
different account
Fund Cluster Accounting
-Refers to an accounting entity for
recording expenditures and revenues
associated with a very specific activity
for which accounting records are
maintained and periodic financial reports
are prepared