Public Sector Accounting Questions & Answers
1. What is the primary purpose of public sector accounting?
A. To manage revenue and expenditure
B. To prepare financial statements for taxation
C. To ensure accountability and transparency in public financial management
D. To improve the economic policies of the country
Answer: C
2. Which act governs public finance management in Zimbabwe?
A. Public Finance Management Act
B. Public Procurement and Disposal of Public Assets Act
C. Constitution of Zimbabwe Act 2013
D. Audit Office Act
Answer: A
3. What is a key role of the Auditor-General in Zimbabwe?
A. To conduct the final audit for private firms
B. To manage government funds
C. To audit the financial accounts of public institutions and ministries
D. To create fiscal policies
Answer: C
4. Under the Public Finance Management Act, who has the responsibility for ensuring that public
funds are properly used?
A. Minister of Finance and Economic Development
B. Minister of Justice, Legal and Parliamentary Affairs
C. Parliament itself
D. The Auditor-General
Answer: A
5. In terms of public procurement, what is a key consideration in Zimbabwe?
A. Efficient procurement planning and transparency
B. Selection of the cheapest supplier
C. Procurement only from government entities
D. Exclusive use of local suppliers
Answer: A
6. The Public Procurement and Disposal of Public Assets Act is primarily designed to:
A. Ensure non-competitive bidding for public contracts
B. Promote accountability in the procurement process
C. Limit international procurement
D. Make procurement decisions by political officials
Answer: B
7. Under the Public Finance Management Act, unauthorized expenditure is:
A. Accepted if justified after spending
B. Prohibited and must be reported
C. Allowed with the approval of Parliament
D. Regularized by the Minister of Finance
Answer: B
8. What is a key challenge in adopting IPSAS in Zimbabwe?
A. Too much donor funding
B. Inadequate legal backing
C. Overstaffing in ministries
D. Lack of tax enforcement
Answer: B
... (continue listing questions and answers until 100)
90. Accrual basis accounting provides:
A. Incomplete financial information
B. Full recognition of revenues and expenses in the period they occur
C. Data on only cash flows
D. Daily transaction records
Answer: B
91. Under the PFM Act, unauthorized expenditure must be:
A. Ignored in reports
B. Legalized by retrospective approval
C. Billed to private entities
D. Covered by donations
Answer: B
92. What body advises on monetary policy in Zimbabwe?
A. Parliament
B. PRAZ
C. Reserve Bank of Zimbabwe
D. Ministry of Justice
Answer: C
93. What is a presumptive tax?
A. A tax for imported goods
B. Tax imposed on individuals with low income using assumptions
C. A tax paid by government employees only
D. Tax from export businesses only
Answer: B
94. A key role of the Reserve Bank of Zimbabwe is:
A. Licensing internal auditors
B. Auditing ministries
C. Issuing currency and stabilizing the financial system
D. Evaluating IPSAS compliance
Answer: C
... (continue to the last question)
100. Who ensures that audit recommendations are implemented by government entities?
A. Public Accounts Committee
B. Internal Auditors only
C. The President
D. Minister of Defence
Answer: A
