A no-year appropriation closes after no disbursement for how many complete fiscal years?

Prepare for the Certified Defense Financial Manager Exam 1. Study with flashcards and multiple choice questions. Each question includes hints and explanations to boost your knowledge. Ace your exam with confidence!

Multiple Choice

A no-year appropriation closes after no disbursement for how many complete fiscal years?

Explanation:
Two complete fiscal years of no disbursement triggers the closeout of a no-year appropriation. No-year means funds stay available indefinitely for obligations, but to prevent stagnant balances, an unused no-year appropriation is closed after two fiscal years with no disbursement. Once closed, no new obligations can be incurred against that appropriation, and any unobligated balance is canceled and returned per regulations. So after two years of inactivity, the appropriation ends; one year, three years, or four years do not match this rule.

Two complete fiscal years of no disbursement triggers the closeout of a no-year appropriation. No-year means funds stay available indefinitely for obligations, but to prevent stagnant balances, an unused no-year appropriation is closed after two fiscal years with no disbursement. Once closed, no new obligations can be incurred against that appropriation, and any unobligated balance is canceled and returned per regulations. So after two years of inactivity, the appropriation ends; one year, three years, or four years do not match this rule.

More Multiple Choice Questions
Subscribe

Get the latest from Passetra

You can unsubscribe at any time. Read our privacy policy