FINANCIAL MODELING EXAMINATION SET
2026 SOLVED QUESTIONS GRADED A+
● The DCF or discontinued cash flow method is commonly used to
value companies stock (equity) given:
1) Cash flows that can be stimated with some reliability for future goods
2) All of these are correct
3) Cash flows that are currently positive
4) A proxy for risk that can be used to obtain discount rates is available.
Answer: 2) All of these are correct
● One of the axioms in Finance is that _____ earnings do not equal cash
flows. Answer: GAAP Accounting
● Which of the following are considered to be the most likely external
used of financial statements evaluations prepared by a company? (Two
answers are correct)
1) Customers
2) Inventory Auditors
3) Excutives in the company
4) Creditors. Answer: 1) Customers
4) Creditors
2026 SOLVED QUESTIONS GRADED A+
● The DCF or discontinued cash flow method is commonly used to
value companies stock (equity) given:
1) Cash flows that can be stimated with some reliability for future goods
2) All of these are correct
3) Cash flows that are currently positive
4) A proxy for risk that can be used to obtain discount rates is available.
Answer: 2) All of these are correct
● One of the axioms in Finance is that _____ earnings do not equal cash
flows. Answer: GAAP Accounting
● Which of the following are considered to be the most likely external
used of financial statements evaluations prepared by a company? (Two
answers are correct)
1) Customers
2) Inventory Auditors
3) Excutives in the company
4) Creditors. Answer: 1) Customers
4) Creditors