GFOA Exam CPFO Topic 3 Question 101 Discussion

Actual exam question for GFOA's CPFO exam

Question #: 101
Topic #: 3

The lease agreement contains a ___________ clause that permits the government to cancel the capital lease, without defaulting, by not appropriating payment for the lease.

AAppropriation

BNon-appropriation

CIt depends

DNone-of these

Show Suggested Answer

Suggested Answer: B

by Jaime at Sep 15, 2024, 01:04 AM

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Lennie

3 months ago

Haha, 'Non-appropriation-ception', that's a good one! But seriously, B is the right choice here. I'm feeling pretty confident about this exam.

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Marlon

3 months ago

I agree, B is the right answer. I'm just glad they didn't try to trick us with something like 'Non-appropriation-ception'.

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Veronika

2 months ago

I agree, B is the right answer. I'm just glad they didn't try to trick us with something like 'Non-appropriation-ception'.

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Jaclyn

2 months ago

B) Non-appropriation

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Rose

2 months ago

A) Appropriation

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Queenie

3 months ago

I'm not sure, but I think it's A) Appropriation because the government needs to appropriate funds to continue the lease.

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Rusty

3 months ago

I agree with Noemi, because the clause allows the government to cancel the lease if they don't appropriate funds.

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Noemi

3 months ago

I think the answer is B) Non-appropriation.

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Blondell

4 months ago

The answer is clearly B) Non-appropriation. I can't believe anyone would think it's 'It depends' - that's just a cop-out!

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Markus

3 months ago

Yeah, 'It depends' doesn't make sense in this context.

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Clay

4 months ago

I agree, the answer is definitely B) Non-appropriation.

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