ACCOUNTING AND FINANCE EXAM 2025-2026
ACTUAL QUESTIONS AND ANSWERS GRADED
A+ LATEST
_____ is the process of identifying, measuring, and communicating economic
information to permit informed judgments and decisions by the users of the
information.
Accounting
True or false: Financial analysts typically evaluate possible merger and acquisition
candidates on paper.
False
Which type of accounting focuses on compliance with the tax code and presenting
the profit and loss story of a business to minimize its tax liability?
Tax accounting
A stockholder wants to determine whether to increase or decrease their investment
in the company. What type of accounting information needs to be provided?
,Financial accounting
Who comprises the Public Company Accounting Oversight Board?
Five members appointed and overseen by the SEC
_____ is a mechanical process that records the routine economic activities of a
business.
Bookkeeping
What does the SEC stand for?
Securities and Exchange Commission
The _____ of 2002 in the United States sets more stringent standards for financial
reporting for public companies and their managers.
Sarbanes-Oxley Act
The generally accepted accounting principles (GAAP) are a set of rules and
standards that _____.
help ensure uniformity in financial statements
,Which type of accounting is intended for internal users and is concerned with
forward looking projections?
Managerial accounting
Which slogan is the most ethical?
"If it seems too good to be true, it usually is."
The financial statement that reflects a company's profitability is _____.
Income Statement
A company that more clearly reveals the results of operations and the financial
condition of the company is practicing _____.
transparency
The financial statement that shows the cash inflows and outflows for a company
during a period time is _____.
Statement of Cash Flows
, A company produces widgets. Each widget costs $200 in materials and is sold for
$300. The company's fixed costs are $2500 per month. What value of widgets does
the company need to sell to break even?
$7500
The financial statement that reflects a company's solvency and financial position is
_____.
Balance Sheet
The amount that each unit contributes to covering fixed costs and increasing profits
is called the _____.
unit contribution margin
What does it mean when a business has a net loss?
The expenses exceed the revenues.
Which is an example of a variable cost?
Raw Materials
ACTUAL QUESTIONS AND ANSWERS GRADED
A+ LATEST
_____ is the process of identifying, measuring, and communicating economic
information to permit informed judgments and decisions by the users of the
information.
Accounting
True or false: Financial analysts typically evaluate possible merger and acquisition
candidates on paper.
False
Which type of accounting focuses on compliance with the tax code and presenting
the profit and loss story of a business to minimize its tax liability?
Tax accounting
A stockholder wants to determine whether to increase or decrease their investment
in the company. What type of accounting information needs to be provided?
,Financial accounting
Who comprises the Public Company Accounting Oversight Board?
Five members appointed and overseen by the SEC
_____ is a mechanical process that records the routine economic activities of a
business.
Bookkeeping
What does the SEC stand for?
Securities and Exchange Commission
The _____ of 2002 in the United States sets more stringent standards for financial
reporting for public companies and their managers.
Sarbanes-Oxley Act
The generally accepted accounting principles (GAAP) are a set of rules and
standards that _____.
help ensure uniformity in financial statements
,Which type of accounting is intended for internal users and is concerned with
forward looking projections?
Managerial accounting
Which slogan is the most ethical?
"If it seems too good to be true, it usually is."
The financial statement that reflects a company's profitability is _____.
Income Statement
A company that more clearly reveals the results of operations and the financial
condition of the company is practicing _____.
transparency
The financial statement that shows the cash inflows and outflows for a company
during a period time is _____.
Statement of Cash Flows
, A company produces widgets. Each widget costs $200 in materials and is sold for
$300. The company's fixed costs are $2500 per month. What value of widgets does
the company need to sell to break even?
$7500
The financial statement that reflects a company's solvency and financial position is
_____.
Balance Sheet
The amount that each unit contributes to covering fixed costs and increasing profits
is called the _____.
unit contribution margin
What does it mean when a business has a net loss?
The expenses exceed the revenues.
Which is an example of a variable cost?
Raw Materials
