1.4 Lesson 1 Quiz

The primary purpose of Performance Standard 1, Financial Viability and Financial Management, is to:

The sponsor’s budget must reflect realistic expenditures for the number of participants, all funding resources, and

All expenditures must be reasonable, necessary, applicable and

To meet Performance Standard 1, nonprofit organizations, schools, and tribal and public governments must follow the Uniform Guidance or Super Circular, 2 CFR 200, and for-profit organizations must follow the cost principles in FAR 31, as well as the

Sponsors may rely solely on CACFP funding to cover all costs incurred by the sponsor.

Failing to continue to adhere to the requirements of the Performance Standards will jeopardize continued participation in the CACFP.

The Integrity Regulations address responsibilities for the state agency, sponsors and facilities.

Sponsors using petty cash are not required to document how the funds were used.

In all cases, independent centers, and sponsors of centers must have funding sources, other than the CACFP reimbursements, to supplement CACFP-compliant operations.

The CACFP budget is a projection of (select the best answer):

Should there be a delay in receiving the CACFP reimbursement, it is ok to wait for the reimbursement to be released by the SA to cover CACFP and other organizational costs.

Independent centers and sponsors of centers must be able to demonstrate adequate funding exists to cover (select the best answer):

It is permissible for independent centers and sponsors of centers to have no other funding sources other than the CACFP reimbursement?

Evidence of timely bill payments is an example of financial viability.

CACFP reimbursement can cover 100% of CACFP costs.

An independent center, DCH sponsor and sponsor of centers cannot participate on the CACFP without effectively demonstrating financial viability and financial management.