PEREGRINE ACCOUNTING AND FINANCE
ACTUAL EXAM PAPER 2026 QUESTIONS WITH
SOLUTIONS GRADED A+
◉ __________ liabilities are those due within one year. Answer: Current
◉ __________-__________ __________ liabilities are due after more than a
year, and may include bonds, mortgages, and long-term loans.
Answer: Long-term debt
◉ Name the three types of accounts listed as current liabilities on
balance sheets. Answer: (1) Accounts Payable
(2) Notes Payable
(3) Accrued Expenses
◉ Accounts payable Answer: The amounts owed for credit
purchases by a firm
◉ Notes payable Answer: Outstanding short-term loans, typically
from commercial banks
, ◉ Accrued expenses Answer: Costs that have been incurred by a
firm which have not yet been paid; examples of accruals include
taxes owed to the government and unpaid wages
◉ The __________ __________ section of a balance sheet provides
information about the claims against a firm held by investors who
own preferred and common shares. Answer: Stockholders' equity
◉ The Stockholders' equity section of the balance sheet is reflected
in four types of accounts. These include __________ __________, __________
__________, __________-__________-__________ __________ ___________ __________
__________, and __________ __________. Answer: (1) preferred stock
(2) common stock
(3) paid-in-capital excess of par
(4) retained earnings
◉ __________ __________ shows the total proceeds from the sale of
preferred stock. Answer: Preferred stock
◉ __________-__________-__________ __________ __________ __________ __________
equals the number of shares outstanding multiplied by the original
selling price of the shares, net of the par value. Answer: Paid-in-
capital in excess of par
ACTUAL EXAM PAPER 2026 QUESTIONS WITH
SOLUTIONS GRADED A+
◉ __________ liabilities are those due within one year. Answer: Current
◉ __________-__________ __________ liabilities are due after more than a
year, and may include bonds, mortgages, and long-term loans.
Answer: Long-term debt
◉ Name the three types of accounts listed as current liabilities on
balance sheets. Answer: (1) Accounts Payable
(2) Notes Payable
(3) Accrued Expenses
◉ Accounts payable Answer: The amounts owed for credit
purchases by a firm
◉ Notes payable Answer: Outstanding short-term loans, typically
from commercial banks
, ◉ Accrued expenses Answer: Costs that have been incurred by a
firm which have not yet been paid; examples of accruals include
taxes owed to the government and unpaid wages
◉ The __________ __________ section of a balance sheet provides
information about the claims against a firm held by investors who
own preferred and common shares. Answer: Stockholders' equity
◉ The Stockholders' equity section of the balance sheet is reflected
in four types of accounts. These include __________ __________, __________
__________, __________-__________-__________ __________ ___________ __________
__________, and __________ __________. Answer: (1) preferred stock
(2) common stock
(3) paid-in-capital excess of par
(4) retained earnings
◉ __________ __________ shows the total proceeds from the sale of
preferred stock. Answer: Preferred stock
◉ __________-__________-__________ __________ __________ __________ __________
equals the number of shares outstanding multiplied by the original
selling price of the shares, net of the par value. Answer: Paid-in-
capital in excess of par
