Certified Government Financial Manager (CGFM) Practice Exam

The three types of general purpose local governments are county, municipality, and township. Each of these forms plays a distinct role within local governance structures.

Counties serve as a significant level of government that administers a variety of fundamental services over a designated geographical area. They typically handle essential administrative functions such as law enforcement, public health, infrastructure maintenance, and social services.

Municipalities are city or town governments that provide services to their residents, offering a wide array of services including public safety, zoning, and community development. They are often the most visible form of local government from a citizen's perspective due to their proximity.

Townships, while less common in urban areas, provide a level of government that may deliver services such as road maintenance and land use planning, especially in rural settings. They often have a more localized focus compared to counties and municipalities.

This distinction is vital for understanding the different layers of local government and their responsibilities. The other options do not accurately reflect the three primary forms of general purpose local governments, as they include special districts or levels of government that are not classified as general purpose.