AGA Exam CGFM Topic 1 Question 19 Discussion

Actual exam question for AGA's CGFM exam

Question #: 19
Topic #: 1

[All CGFM Questions]

If a CGFM wants to utilize data on population growth, housing and employment to estimate sales tax revenue, the CGFM should use

Aa regression analysis.

Ba cash flow analysis.

Ca payback analysis.

Dflow charting.

Show Suggested Answer

Suggested Answer: D

by Mari at Oct 23, 2022, 05:43 PM

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Lindsey

2 months ago

I don't know, a good old-fashioned crystal ball might be more accurate than any of these options. At least it would be more entertaining!

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Kerry

22 days ago

C) a payback analysis.

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Nida

1 months ago

B) a cash flow analysis.

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Gerardo

1 months ago

A) a regression analysis.

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Pearlie

2 months ago

Payback analysis? What is this, a business loan application? We're talking about predicting tax revenue, not evaluating the return on an investment.

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Beatriz

8 days ago

B) a cash flow analysis.

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Beatriz

12 days ago

Exactly, regression analysis is the way to go for estimating sales tax revenue based on data like population growth and employment.

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Beatriz

15 days ago

A) a regression analysis.

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Christiane

1 months ago

B) a cash flow analysis.

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Christiane

2 months ago

Exactly, regression analysis is the way to go for estimating sales tax revenue based on population growth, housing, and employment data.

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Christiane

2 months ago

A) a regression analysis.

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Ena

2 months ago

Flow charting? Really? That's for mapping out processes, not estimating revenue. Clearly, A is the correct answer here.

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Darnell

1 months ago

I agree, flow charting is definitely not the right choice for estimating revenue.

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Leslee

2 months ago

A) a regression analysis.

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Kaycee

2 months ago

I was thinking a cash flow analysis, but that's more for looking at the actual inflows and outflows of cash. For this, we need to predict future revenue, so a regression makes sense.

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Vallie

2 months ago

I'm not sure about that. I think it could also be B) a cash flow analysis, as it involves tracking the flow of money in and out of the government.

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Shawnda

2 months ago

I agree with Selma. Regression analysis would be the best method to estimate sales tax revenue based on population growth, housing, and employment data.

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Kenneth

2 months ago

A regression analysis sounds like the way to go here. You'd be able to model the relationship between population, housing, and employment data to estimate the sales tax revenue.

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