CoreAnalyst FCA Core Curriculum
Assessment Exam
Question 1. Which financial statement provides a snapshot of a
company's assets, liabilities, and equity at a specific point in time?
A) Income Statement
B) Cash Flow Statement
C) Balance Sheet
D) Statement of Shareholders’ Equity
Answer: C
Explanation: The Balance Sheet presents a company's assets, liabilities,
and equity as of a specific date, providing a snapshot of financial
position.
Question 2. Which of the following is classified as a current asset on the
balance sheet?
,CoreAnalyst FCA Core Curriculum
Assessment Exam
A) Property, Plant, and Equipment
B) Accounts Receivable
C) Goodwill
D) Long-term Investments
Answer: B
Explanation: Accounts receivable is a current asset because it is
expected to be converted into cash within one year.
Question 3. What does the accounting equation Assets = Liabilities +
Equity represent?
A) The relationship between revenues and expenses
B) The fundamental principle of double-entry accounting
C) The flow of cash in and out of a company
,CoreAnalyst FCA Core Curriculum
Assessment Exam
D) The calculation of net income
Answer: B
Explanation: The accounting equation reflects the double-entry system,
showing that assets are financed by liabilities and equity.
Question 4. Which activity in the cash flow statement involves cash
inflows from issuing stock or borrowing?
A) Operating activities
B) Investing activities
C) Financing activities
D) Revenue activities
Answer: C
, CoreAnalyst FCA Core Curriculum
Assessment Exam
Explanation: Financing activities include cash flows related to
borrowing, issuing stock, or paying dividends.
Question 5. How is Free Cash Flow (FCF) typically calculated?
A) Operating Cash Flow - Capital Expenditures
B) Net Income + Depreciation & Amortization
C) Revenue - Operating Expenses
D) Gross Profit - Operating Expenses
Answer: A
Explanation: FCF is calculated as operating cash flow minus capital
expenditures, representing cash available for creditors and
shareholders.
Assessment Exam
Question 1. Which financial statement provides a snapshot of a
company's assets, liabilities, and equity at a specific point in time?
A) Income Statement
B) Cash Flow Statement
C) Balance Sheet
D) Statement of Shareholders’ Equity
Answer: C
Explanation: The Balance Sheet presents a company's assets, liabilities,
and equity as of a specific date, providing a snapshot of financial
position.
Question 2. Which of the following is classified as a current asset on the
balance sheet?
,CoreAnalyst FCA Core Curriculum
Assessment Exam
A) Property, Plant, and Equipment
B) Accounts Receivable
C) Goodwill
D) Long-term Investments
Answer: B
Explanation: Accounts receivable is a current asset because it is
expected to be converted into cash within one year.
Question 3. What does the accounting equation Assets = Liabilities +
Equity represent?
A) The relationship between revenues and expenses
B) The fundamental principle of double-entry accounting
C) The flow of cash in and out of a company
,CoreAnalyst FCA Core Curriculum
Assessment Exam
D) The calculation of net income
Answer: B
Explanation: The accounting equation reflects the double-entry system,
showing that assets are financed by liabilities and equity.
Question 4. Which activity in the cash flow statement involves cash
inflows from issuing stock or borrowing?
A) Operating activities
B) Investing activities
C) Financing activities
D) Revenue activities
Answer: C
, CoreAnalyst FCA Core Curriculum
Assessment Exam
Explanation: Financing activities include cash flows related to
borrowing, issuing stock, or paying dividends.
Question 5. How is Free Cash Flow (FCF) typically calculated?
A) Operating Cash Flow - Capital Expenditures
B) Net Income + Depreciation & Amortization
C) Revenue - Operating Expenses
D) Gross Profit - Operating Expenses
Answer: A
Explanation: FCF is calculated as operating cash flow minus capital
expenditures, representing cash available for creditors and
shareholders.
