1. Toney Williams, CDFM, CFE
Phone #: (901)
PRIMARY REFERENCE: ASMC Website ( &
The Enhanced Defense Financial Management Training Course (EDFMTC) Textbook, rev Oct 2009
Toney Williams, CDFM, CFE
ASMC PDI 2011
Minneapolis, MN

2. AGENDA Brief Overview of The Three (3) CDFM Modules
Helpful “ Mental Tips” For Preparing for the Exam
Sample Test Questions and Answers
The Eight (8) Week Study Plan
Motivational Closing
Toney Williams, CDFM, CFE
ASMC PDI 2011
Minneapolis, MN

3. The Three (3) CDFM Exam Modules
Module One: Resource Management Environment
Competency One: Government Resource Management Environment
Competency Two: Manpower Management
Competency Three: Personnel Management
Competency Four: Management’s Responsibility for Internal Control
Module Two: Budget and Cost Analysis
Competency One: Defense Budget Process
Competency Two: Cost and Economic Analysis
Competency Three: Business Management / Process Improvement
Module Three: Accounting and Finance
Competency One: Fiscal Law
Competency Two: Finance
Competency Three: Accounting
Competency Four: Auditing
Toney Williams, CDFM, CFE
ASMC PDI 2011
Minneapolis, MN

4. The Three (3) CDFM Exam Modules
Module One: Resource Management Environment
Competency One: Government Resource Management Environment
This area deals with the financial manager’s knowledge of relationships of checks and balances among the branches of the Federal Government; structure of the Federal budget, including sources of revenue and expenditures; the roles of the President, Congress, Treasury, OMB, and other Federal agencies in the legislative process, and the four phases of the Budget Cycle.
Knowledge Check
1. How many branches of government did the Constitution establish?
Answer: Three
2. What agency issues apportionments?
Answer: Office of Management and Budget (OMB)
Toney Williams, CDFM, CFE
ASMC PDI 2011
Minneapolis, MN

5. The Three (3) CDFM Exam Modules
Module One: Resource Management Environment
Competency Two: Manpower Management
This area deals with the financial manager’s knowledge of manpower and force management as they relate to resource management, manpower rules, regulations, laws, and development of manpower requirements.
Knowledge Check
1. Where can the rules for calculating FTE employment be found?
Answer: OMB Circular A-11
2. What term is used to refer to the totality of units in a DoD component?
Answer: Force Structure
Toney Williams, CDFM, CFE
ASMC PDI 2011
Minneapolis, MN

6. The Three (3) CDFM Exam Modules
Module One: Resource Management Environment
Competency Three: Personnel Management
This area deals with the financial manager’s knowledge of training, conflict resolution, performance appraisal, EEO complaint resolution, and improving poor performance.
Knowledge Check
1. New Federal employees normally serve a probationary period of how long?
Answer: One year
2. Effective training can be a critical component for achieving what?
Answer: Organizational Goals
Toney Williams, CDFM, CFE
ASMC PDI 2011
Minneapolis, MN

7. The Three (3) CDFM Exam Modules
Module One: Resource Management Environment
Competency Four: Management’s Responsibility for Internal Control
This area deals with the financial manager’s knowledge of the Federal Managers’ Financial Integrity Act of 1982, Comptroller General Standards for Internal Controls in the Federal Government, and applicable Federal Government and DoD management control guidance and regulations.
Knowledge Check
1. The Integrity Act report must include agency plans to correct what type of weakness?
Answer: Material Weakness
2. How many standards are there in the GAO Standards of Internal Control?
Answer: Five
Toney Williams, CDFM, CFE
ASMC PDI 2011
Minneapolis, MN

8. The Three (3) CDFM Exam Modules
Module Two: Budget and Cost Analysis
Competency One: Defense Budget Process
This area deals with the financial manager’s knowledge of the DoD budget formulation, review, and execution; OMB Circulars and implementation of DoD guidance; relationships among and use of appropriations and funds; the stages of funds execution; reimbursable and support agreements; flow of funds; and the DoD programming process, terminology, and products.
Knowledge Check
1. Who serves as the Chairman of the National Security Council?
Answer: The President of the United States of America
2. Who is the principal advisor and assistant to the Secretary of Defense for budget and fiscal matters?
Answer: Undersecretary of Defense, (Comptroller) / CFO
Toney Williams, CDFM, CFE
ASMC PDI 2011
Minneapolis, MN

9. The Three (3) CDFM Exam Modules
Module Two: Budget and Cost Analysis
Competency Two: Cost and Economic Analysis
This area deals with the financial manager’s knowledge of mathematical and statistical methods; cost estimating techniques; benefit analysis including payback, return on investment, and present value; system acquisition and life-cycle management policies, DoD Cost Guidance; concepts and principles for Activity-Based Costing; and acquisition concepts, principles, and processes.
Knowledge Check
1. Cost savings, cost avoidance and productivity improvement are recognized as what type of benefits?
Answer: Quantifiable Benefits
2. What is the difference between budget cost of work performed and actual cost of work performed?
Answer: Cost Variance
Toney Williams, CDFM, CFE
ASMC PDI 2011
Minneapolis, MN

10. The Three (3) CDFM Exam Modules
Module Two: Budget and Cost Analysis
Competency Three: Business Management / Process Improvement
This area deals with the financial manager’s knowledge of concepts of Business Process Reengineering, special authority to use receipts, Government Performance and Results Act of 1993, and directives and regulations related to the performance of commercial activities.
Knowledge Check
1. What law or regulation has as its goal the improvement of Federal program effectiveness and public accountability by promoting a new focus on results, service quality, and customer satisfaction?
Answer: Government Performance and Results Act (GPRA)
2. What is an assessment of the results of a program activity when comparing to its intended purpose?
Answer: Outcome or Outcome Measures
Toney Williams, CDFM, CFE
ASMC PDI 2011
Minneapolis, MN

11. The Three (3) CDFM Exam Modules
Module Three: Accounting and Finance
Competency One: Fiscal Law
This area deals with the financial manager’s knowledge of law regarding availability of appropriation as to the purpose, time, and amount; applicable Comptroller General decisions; special purpose laws (credit reform, foreign assistance, arms export control acts); penalties and sanctions applicable under law; the Anti-deficiency Act (as applied to appropriation limitations); allotment or project executions; and authorization and appropriation acts including the interrelationship and respective roles, reporting, and notification requirements.
Knowledge Check
1. Federal appropriations law can be categorized into which three topical areas?
Answer: Purpose, Time, and Amount (PTA)
2. Article 1, Section 9, of the U.S. Constitution gives the power to appropriate funds for operating the government to which branch of the government?
Answer: Legislative Branch (Congress)
Toney Williams, CDFM, CFE
ASMC PDI 2011
Minneapolis, MN

12. The Three (3) CDFM Exam Modules
Module Three: Accounting and Finance
Competency Two: Finance
This area deals with the financial manager’s knowledge of rules concerning: military and civilian pay, travel entitlements, vendor payments, electronic commerce, debt management, and public funds internal controls and responsibility.
Knowledge Check
1. What is the primary organization in DoD with the responsibility for Finance requirements?
Answer: The Defense Finance and Accounting Service (DFAS)
2. Which individuals hold personal and pecuniary liability for their actions in financial transactions?
Answer: Certifying Officers, Disbursing Officers, and Accountable Officials
Toney Williams, CDFM, CFE
ASMC PDI 2011
Minneapolis, MN

13. The Three (3) CDFM Exam Modules
Module Three: Accounting and Finance
Competency Three: Accounting
This area deals with the financial manager’s knowledge of Federal accounting procedures and practices.
Knowledge Check
1. The Budget and Accounting Act of 1921 established the GAO (Legislative Branch) to audit financial transactions of which branch of the government?
Answer: The Executive Branch (President)
2. What are the two self-balancing sets of accounts in the U.S. Government Standard General Ledger (USGSGL)?
Answer: Budgetary and Proprietary
Toney Williams, CDFM, CFE
ASMC PDI 2011
Minneapolis, MN

14. The Three (3) CDFM Exam Modules
Module Three: Accounting and Finance
Competency Four: Auditing
This area deals with the financial manager’s knowledge of Comptroller General’s Generally Accepted Government Auditing Standards (often called simply the Yellow Book), DoD audit policies and procedures, documentation requirements, reporting requirements, audit program development criteria, frequency review criteria and requirements, and constraints on non-audit services.
Knowledge Check
1. Who conducts, supervises, monitors, and initiates audits and investigations relating to DoD programs and operations?
Answer: Department of Defense Inspector General (DODIG)
2. What document includes the objectives of the audit, the findings, and when appropriate, the recommendations?
Answer: The Audit Report
Toney Williams, CDFM, CFE
ASMC PDI 2011
Minneapolis, MN

15. Helpful “Tips” For Preparing for the Exam
First and foremost , “Believe that you will pass and you will” - When you believe something can be done, your mind will find ways to do it. Believing a solution paves the way to a solution. ***You must exude CONFIDENCE ***
Don’t procrastinate---You must commit your time and mind to studying – remember Action cures fear !!!
Block off and dedicate a specific amount of time (preferably--8 weeks) and a place where you can persistently, consistently, and fervently study
Accept the law of cause and effect. What appears to be someone’s “Good Luck”…is “NOT” luck but “Planning, Preparation, Successful Thinking, Motivation, and *** Action ***
Change your way of thinking about financial management (FM) --Think “Big” ---Think Department of Defense (DOD) FM!
Toney Williams, CDFM, CFE
ASMC PDI 2011
Minneapolis, MN

16. Sample “Test” Questions & Answers
Module One: Resource Management Environment
If Congress and the President do not complete action on all appropriation by ____ of September a _____ is passed by both houses to avoid a shutdown of government. A A B C D
30th, continuing resolution
31th, continuing resolution
7th, continuing resolution
24th, continuing resolution
Toney Williams, CDFM, CFE
ASMC PDI 2011
Minneapolis, MN

17. Sample “Test” Questions & Answers
Module One: Resource Management Environment
The House and Senate budget committees manage the budget resolution step, These committees use the analysis provided by the _____, as well as the views and estimates provided by the standing committees regarding the funding required to continue their programs A A B C D
Congressional Budget Office (CBO)
House Appropriations Committee
Senate Appropriations Committee
President's Chief of Staff
Toney Williams, CDFM, CFE
ASMC PDI 2011
Minneapolis, MN

18. Sample “Test” Questions & Answers
Module One: Resource Management Environment A
One of the goals of the _____ was to provide for improvement, in each agency of the Federal Government, of systems of accounting, financial management, and internal controls to assure the issuance of reliable financial information and to deter fraud, waste, and abuse of Government resources. A B C D
CFO Act
Omnibus Reconciliation Act
Federal Managers Financial Integrity Act
Budget Enforcement Act
Toney Williams, CDFM, CFE
ASMC PDI 2011
Minneapolis, MN

19. Sample “Test” Questions & Answers
Module One: Resource Management Environment C
_______ is the basic substantive legislation enacted by Congress that sets up or continues the legal operation of a Federal program or agency either indefinitely or for a specific time frame or sanctions a particular type of obligation or expenditure within a program. A B C D
Allocations
Appropriations
Authorization
Budget Authority
Toney Williams, CDFM, CFE
ASMC PDI 2011
Minneapolis, MN

20. Sample “Test” Questions & Answers Apprortionment request
Module Two: Defense Budget Process
_________ is part of the government-wide system for the administrative control of appropriations and funds. It is a distribution of an amount available for obligation and/or commitment in an appropriation or fund account into amounts available for specified time periods, activities, projects, or combinations. C A B C D
Allotment
Apprortionment request
Apportionment
Treasury Warrant
Toney Williams, CDFM, CFE
ASMC PDI 2011
Minneapolis, MN

21. Sample “Test” Questions & Answers
Module Two: Defense Budget Process
A ________ is a type of Economic Analysis that documents the review of an entire process such as supply or maintenance. It requires a risk assessment of each alternative requesting high and low estimates for each cost element and subsequent probability distribution of expected costs. C A B C D
Capital Budget Analysis
Environmental Quality Economic Analyses
Functional Economic Analysis
Competitive Source Economic Analysis
Toney Williams, CDFM, CFE
ASMC PDI 2011
Minneapolis, MN

22. Sample “Test” Questions & Answers
Module Two: Defense Budget Process
The ______ provides guidance to the Federal Manager on improving accountability and effectiveness of Federal programs and operations by establishing assessing, correcting and reporting management controls. B A B C D
OMB Circular A-11
OMB Circular A-123
OMB Circular A-76
OMB Circular A-34
Toney Williams, CDFM, CFE
ASMC PDI 2011
Minneapolis, MN

23. Sample “Test” Questions & Answers
Module Three: Accounting and Finance
______is required for reprogramming that result in increases in procurement quantities of major program end items, changes to Congressional Interest Items in an Authorization Act, movement of funds between appropriations involving General Transfer Authority. C A B C D
Presidental Approval
Office of Management and Budget Approval
Congressional Prior Approval
All of the above
Toney Williams, CDFM, CFE
ASMC PDI 2011
Minneapolis, MN

24. Sample “Test” Questions & Answers
Module Three: Accounting and Finance
The regulation that is composed of 15 volumes and provides DoD components with the policy and procedures within the responsibility of the Under Secretary of Defense (Comptroller) is the__________ C A B C D
The Red Book, Financial Management Regulation (FMR)
The Yellow Book, Financial Management Regulation (FMR)
The DoD R, Financial Management Regulation (FMR)
The DoD R, Financial Management Regulation (FMR)
Toney Williams, CDFM, CFE
ASMC PDI 2011
Minneapolis, MN

25. Sample “Test” Questions & Answers
Module Three: Accounting and Finance D
The major focus of ________ is on certifying entitlements and making payments. Additionally, it focuses on the various disbursement responsibilities and requirements for safeguarding the resources that are under an accountable individuals control. A B C D
Accounting
Contracting
Budget
Finance
Toney Williams, CDFM, CFE
ASMC PDI 2011
Minneapolis, MN

26. Sample “Test” Questions & Answers
Module Three: Accounting and Finance
The type of audit that determines whether financial information is presented in accordance with established criteria, whether there is adherence to compliance requirements and if financial assets are adequately safeguarded is a _____________ audit. D A B C D
Compliance Audit
Performance Audit
Program Audit
Financial Audit
Toney Williams, CDFM, CFE
ASMC PDI 2011
Minneapolis, MN

27. The Eight (8)Week Study Plan *** Comprehension through Repetition ***
Weeks One (1) & Two (2):
First Two Days (Monday and Tuesday): Read The American Society of Military Comptrollers (ASMC) Reference Guide (July 2000_updated January 2004).
Read it straight through like a book/novel. You are reading for comprehension---not technical--not to research or reference
Second Ten Days (Wednesday thru Friday): Read The Enhanced Defense Financial Management Training Course (EDFMTC) textbook
Read it straight through like a book/novel. You are reading for comprehension---not technical--not to research or reference
Last Two Days (Saturday and Sunday): Rest and take in all that you have read on an inclusive level. That is, continue to digest the “Big” picture of DOD from your reading.
*** Comprehension through Repetition ***
Toney Williams, CDFM, CFE
ASMC PDI 2011
Minneapolis, MN

28. The Eight (8)Week Study Plan *** Comprehension through Repetition ***
Weeks Three (3) & Four (4) -- Module One (1):
Monday and Tuesday of Week Three (3): Follow the Required Five (5) steps for Competency Area #1: The five steps are as follows:
Wednesday thru Friday: Competencies Two-Four, ONLY : Repeat the five (5) steps listed above.
Saturday & Sunday: Rest !!!
Repeat the process above for week # Four (4): with the exception of Saturday; Saturday you take Module One Exam!!!. Sunday you rest!
*** Comprehension through Repetition ***
Toney Williams, CDFM, CFE
ASMC PDI 2011
Minneapolis, MN

29. The Eight (8)Week Study Plan *** Comprehension through Repetition ***
Weeks Five (5) & Six (6) -- Module Two (2):
Monday and Tuesday of Week Five (5): Follow the Required Five (5) steps for Competency Area #1: The five steps are as follows:
Wednesday thru Friday: Competencies Two & Three, ONLY : Repeat the five (5) steps listed above.
Saturday & Sunday: Rest !!!
Repeat the process above for week # Six (6): with the exception of Saturday; Saturday you take Module Two Exam!!!. Sunday you rest!
*** Comprehension through Repetition ***
Toney Williams, CDFM, CFE
ASMC PDI 2011
Minneapolis, MN

30. The Eight (8)Week Study Plan *** Comprehension through Repetition ***
Weeks Seven (7) & Eight (8) -- Module Three (3):
Monday and Tuesday of Week Seven (7): Follow the Required Five (5) steps for Competency Area #1: The five steps are as follows:
Wednesday thru Friday: Competencies Two-Four, ONLY : Repeat the five (5) steps listed above.
Saturday & Sunday: Rest !!!
Repeat the process above for week # Eight (8): with the exception of Saturday; Saturday you take Module Three Exam!!!. Sunday you rest!
*** Comprehension through Repetition ***
Toney Williams, CDFM, CFE
ASMC PDI 2011
Minneapolis, MN

31. Closing M: Motivation-
You have to develop a motive or a purpose as to why you want to become a CDFM.
Is it because you want a promotion?
Is it because you want the designation behind your name?
Is it for respect?
Is it for shear educational reasons or purposes?
Regardless of the reason or motive, you must discover that purpose. Once you discover that motive, you can then begin to act on that motive. Motive plus action equals Motivation! Motivation is a motive acted upon. You must develop a motive and then act on that motive and display and stay motivated.
All successful individuals share this attribute
Toney Williams, CDFM, CFE
ASMC PDI 2011
Minneapolis, MN

32. Closing O: Opportunity-
You must take advantage of every single opportunity that presents itself for you to learn and to study.
For example research and find out where the Enhance Defense Financial Management Training Course (EDFMTC) is being offered and sign up and take it – it is centrally funded – that is, it is free!!!
Take advantage of mentors, advice, articles, and the like, which will help you study and obtain your CDFM.
It is absolutely essential that you seek out every single opportunity that is possible.
Toney Williams, CDFM, CFE
ASMC PDI 2011
Minneapolis, MN
Slide 32

33. Closing
N: Network-
Seek out those that already have the CDFM and network with them.
Trade business cards with them.
Seek advice and recommendations from them.
Network each and every opportunity that you get with someone that you know that has successfully passed the CDFM exam.
You will find this to be tremendously helpful.
Toney Williams, CDFM, CFE
ASMC PDI 2011
Minneapolis, MN
Slide 33

34. Closing E: Education- Set a goal to become more educated every day.
Take 30 minutes or an hour each day to study a segment of one of the modules of the CDFM.
It will make you smarter whether you are about to take the exam or not.
The CDFM, in of itself, is quality education – alone.
It will help you with your everyday work environment regardless of the branch
of service that you work for - as the CDFM is DOD specific.
Toney Williams, CDFM, CFE
ASMC PDI 2011
Minneapolis, MN
Slide 34

35. Closing Y: You- Finally, it is all about Y-O-U!
Will you develop a motive and/or a reason or a purpose to take the CDFM exam?
Will you put that motive into action and demonstrate and develop motivation to study and pass the CDFM exam?
Will you take advantage of every opportunity to take classes including the EDFMTC?
Will you take the opportunity to become an “expert” in DOD FM?
Will you take the opportunity to standout and separate yourself from the average FM and your peers?
Will you educate yourself daily?
Will you use this eight week study plan? Will you become a CDFM in eight weeks?
Toney Williams, CDFM, CFE
ASMC PDI 2011
Minneapolis, MN
Slide 35

36. Will you take this M.O.N.EY ?????
Closing
M: *** Motivation ***
O: *** Opportunity ***
N: *** Network ***
E: *** Education ***
Y: *** You ***
Will you take this M.O.N.EY ?????
Toney Williams, CDFM, CFE
ASMC PDI 2011
Minneapolis, MN
Slide 36

37. QUESTIONS EMAIL: anthony.williams@navy.mil Phone #: (901) 874-4336
PRIMARY REFERENCE: ASMC Website ( &
The Enhanced Defense Financial Management Training Course (EDFMTC) Textbook, rev Oct 2009
Toney Williams, CDFM, CFE
ASMC PDI 2011
Minneapolis, MN