SNHU ACC 202 CERTIFICATION PAPER
2026 FULL SOLUTION GRADED A+
● Cash. Answer: Money owned; includes coins, currency, and amounts
on deposit at a bank (current asset)
● Short Term Investments. Answer: Investments that are readily
marketable and intended to be converted into cash within the next year
or operating cycle, whichever is longer (current asset)
● Receivables. Answer: Amounts due from individuals and companies
that are expected to be collected in cash due to business, always an asset
● Accounts Receivable. Answer: Amounts to be received in the future
due to the sale of goods or services (current asset)
● Notes Receivable. Answer: A written promise that a customer will pay
a fixed amount of principal plus interest by a certain date in the future
(current asset)
● Inventory. Answer: Merchandise or goods a company owns, for the
purpose of selling to customers, held for resale (current asset)
, ● Supplies. Answer: Goods a company owns and is on-hand, not yet
used, that will be consumed in day-to-day operations in the upcoming
period. For example: cleaning supplies, office supplies, etc (current
asset)
● Prepaid Expenses. Answer: Amounts paid in advance for future use
like rent, insurance (current asset)
● Prepaid Insurance. Answer: Amounts paid in advance for insurance
coverage that has not yet been used or consumed (current asset)
● Prepaid Rent. Answer: Amounts paid in advance for future
opportunity, have not used the asset or occupied the facility yet.
Represents future economic benefit, expires over time as the rental
period passes and the asset is used (current asset)
● Long Term Investment. Answer: Investments in bonds (debt securities)
or stocks (equity securities) in which the company intends to hold the
investment for longer than one year (long lived asset)
● Land Investment. Answer: Land acquired and held for speculation or
rental income, not depreciated (long lived asset)
● Stock Investment. Answer: Assets representing equity ownership in
other entities (long lived asset)
2026 FULL SOLUTION GRADED A+
● Cash. Answer: Money owned; includes coins, currency, and amounts
on deposit at a bank (current asset)
● Short Term Investments. Answer: Investments that are readily
marketable and intended to be converted into cash within the next year
or operating cycle, whichever is longer (current asset)
● Receivables. Answer: Amounts due from individuals and companies
that are expected to be collected in cash due to business, always an asset
● Accounts Receivable. Answer: Amounts to be received in the future
due to the sale of goods or services (current asset)
● Notes Receivable. Answer: A written promise that a customer will pay
a fixed amount of principal plus interest by a certain date in the future
(current asset)
● Inventory. Answer: Merchandise or goods a company owns, for the
purpose of selling to customers, held for resale (current asset)
, ● Supplies. Answer: Goods a company owns and is on-hand, not yet
used, that will be consumed in day-to-day operations in the upcoming
period. For example: cleaning supplies, office supplies, etc (current
asset)
● Prepaid Expenses. Answer: Amounts paid in advance for future use
like rent, insurance (current asset)
● Prepaid Insurance. Answer: Amounts paid in advance for insurance
coverage that has not yet been used or consumed (current asset)
● Prepaid Rent. Answer: Amounts paid in advance for future
opportunity, have not used the asset or occupied the facility yet.
Represents future economic benefit, expires over time as the rental
period passes and the asset is used (current asset)
● Long Term Investment. Answer: Investments in bonds (debt securities)
or stocks (equity securities) in which the company intends to hold the
investment for longer than one year (long lived asset)
● Land Investment. Answer: Land acquired and held for speculation or
rental income, not depreciated (long lived asset)
● Stock Investment. Answer: Assets representing equity ownership in
other entities (long lived asset)
