ACG 3173: UCF - Final Exam Practice
Questions with Complete Solutions
2025-2026 Updated.
10-K - Answer annual audited financial statements
An unqualified auditors' opinion about an entity's financial statements: - Answer states that
they are presented in conformance with U.S. generally accepted accounting principles.
consolidated - Answer means the company owns other companies
Conservatism - Answer make estimates lower to make firm look worse off and not mislead
investors
Matching Principle - Answer match expenses to revenues in the same period they were
incurred
Utilities - Answer example of a Mixed Cost
Current Assets (Balance Sheet) - Answer Cash & Cash Equivalents
Marketable Securities
Inventories
Supplies
AR
Prepaid Expenses
Cash & Cash Equivalents - Answer most liquid investments
Marketable Securities - Answer - instruments you own from another company
- written up to fair market value on financial statement (available for sale, trading, held to
maturity)
Inventories - Answer lower of cost or market (write it down but don't write it up)
Accounts Receivable - Answer net of uncollectibles
, Prepaid Expenses - Answer paid but not incurred (rent, insurance)
Long-Term Assets (Balance Sheet) - Answer PPE
Goodwill
PPE - Answer net of depreciation (historical costs)
PPE
- Change in Depreciation
= Net PPE
Goodwill - Answer company bought another company
Current Liabilities (Balance Sheet) - Answer AP
Accrued Expenses
Long-Term liabilities (Balance Sheet) - Answer Bonds
Capital Lease
Operating Lease - Answer - Expensed
- off-Balance Sheet Financing
Accrural vs. Cash Basis Accounting - Answer Accrural : revenues & expenses are recorded
when earned
Equity Section (Balance Sheet) - Answer - Preferred Stock
- Common Stock
- Treasury Stock
- APIC
- Accumulated Other Comprehensive Income
- Retained Earnings
Dividends & Net Losses REDUCE Net Income - Answer True
Treasury Stock - Answer contra-equity account
Questions with Complete Solutions
2025-2026 Updated.
10-K - Answer annual audited financial statements
An unqualified auditors' opinion about an entity's financial statements: - Answer states that
they are presented in conformance with U.S. generally accepted accounting principles.
consolidated - Answer means the company owns other companies
Conservatism - Answer make estimates lower to make firm look worse off and not mislead
investors
Matching Principle - Answer match expenses to revenues in the same period they were
incurred
Utilities - Answer example of a Mixed Cost
Current Assets (Balance Sheet) - Answer Cash & Cash Equivalents
Marketable Securities
Inventories
Supplies
AR
Prepaid Expenses
Cash & Cash Equivalents - Answer most liquid investments
Marketable Securities - Answer - instruments you own from another company
- written up to fair market value on financial statement (available for sale, trading, held to
maturity)
Inventories - Answer lower of cost or market (write it down but don't write it up)
Accounts Receivable - Answer net of uncollectibles
, Prepaid Expenses - Answer paid but not incurred (rent, insurance)
Long-Term Assets (Balance Sheet) - Answer PPE
Goodwill
PPE - Answer net of depreciation (historical costs)
PPE
- Change in Depreciation
= Net PPE
Goodwill - Answer company bought another company
Current Liabilities (Balance Sheet) - Answer AP
Accrued Expenses
Long-Term liabilities (Balance Sheet) - Answer Bonds
Capital Lease
Operating Lease - Answer - Expensed
- off-Balance Sheet Financing
Accrural vs. Cash Basis Accounting - Answer Accrural : revenues & expenses are recorded
when earned
Equity Section (Balance Sheet) - Answer - Preferred Stock
- Common Stock
- Treasury Stock
- APIC
- Accumulated Other Comprehensive Income
- Retained Earnings
Dividends & Net Losses REDUCE Net Income - Answer True
Treasury Stock - Answer contra-equity account
