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CCIFP Glossary Questions and Correct
Answers/ Latest Update / Already Graded
ACAF
Ans: The CPA Canada Advanced Certificate in Accounting and
Finance (ACAF) is
a nationally recognized certificate for those seeking a
challenging and rewarding
career in accounting and finance, but not as a CPA.
Accounting System
Ans: A system, including all of the activities required, that
provides
management with the quantified information needed for
planning, controlling, and
reporting the financial conditions and operations of a business.
Accounts Payable
Ans: Obligations to pay for goods and services that have been
acquired on an open account from vendors. Accounts Payable
are classified as a
current liability on the balance sheet
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Accounts Receivable
Ans: Amounts due from sales to customers on an open
account.
Accounts Receivable are classified as a current asset on the
balance sheet.
Accrual Method
Ans: The recognition of revenue and expenses when incurred.
These are
recorded at the end of an accounting period whether or not
cash has been received
or paid.
Accumulated Depreciation
Ans: The total depreciation that has been collected to date for
one asset account.
AcSB
Ans: The Accounting Standards Board in Canada
Advanced Certificate in Accounting and Finance
All rights reserved © 2025/ 2026 |
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Ans: ACAF is a nationally recognized
certificate for those seeking a challenging and rewarding career
in accounting and
finance, but not as a CPA.
AEC
Ans: Acronym for Architects, Engineers and Contractors.
Stands for a potential
weekly update meeting between the parties during the course
of a construction
project.
AIA
Ans: Acronym for American Institute of Architects.
AICPA
Ans: Acronym for American Institute of Certified Public
Accountants
Allocation of Costs
Ans: The partitioning of costs to specific periods of time. This
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allocation can include the assignment of assets to expense and
liabilities to revenue.
Examples are depreciation and the amortization of intangibles
over a specified period
of time.
Alternative Minimum Tax (AMT)
Ans: Tax levied with the intent that each taxpayer will
pay their fair share. AMT is designed to prevent taxpayers from
escaping a fair share
of tax liability by excessive use of certain tax breaks. A taxpayer
is subject to AMT if
the taxpayer has certain minimum tax adjustments or tax
preference items and the
alternative minimum taxable income (including adjustment for
any net operating loss)
exceeds the exemption allowed for the taxpayer's filing status
and income level. The
AMT is computed on Form 6251 for individuals and Form 4626
for corporations.
Alternative Minimum Taxable Income (AMTI)
Ans: Used to arrive at the alternative
All rights reserved © 2025/ 2026 |
CCIFP Glossary Questions and Correct
Answers/ Latest Update / Already Graded
ACAF
Ans: The CPA Canada Advanced Certificate in Accounting and
Finance (ACAF) is
a nationally recognized certificate for those seeking a
challenging and rewarding
career in accounting and finance, but not as a CPA.
Accounting System
Ans: A system, including all of the activities required, that
provides
management with the quantified information needed for
planning, controlling, and
reporting the financial conditions and operations of a business.
Accounts Payable
Ans: Obligations to pay for goods and services that have been
acquired on an open account from vendors. Accounts Payable
are classified as a
current liability on the balance sheet
All rights reserved © 2025/ 2026 |
, Page |2
Accounts Receivable
Ans: Amounts due from sales to customers on an open
account.
Accounts Receivable are classified as a current asset on the
balance sheet.
Accrual Method
Ans: The recognition of revenue and expenses when incurred.
These are
recorded at the end of an accounting period whether or not
cash has been received
or paid.
Accumulated Depreciation
Ans: The total depreciation that has been collected to date for
one asset account.
AcSB
Ans: The Accounting Standards Board in Canada
Advanced Certificate in Accounting and Finance
All rights reserved © 2025/ 2026 |
, Page |3
Ans: ACAF is a nationally recognized
certificate for those seeking a challenging and rewarding career
in accounting and
finance, but not as a CPA.
AEC
Ans: Acronym for Architects, Engineers and Contractors.
Stands for a potential
weekly update meeting between the parties during the course
of a construction
project.
AIA
Ans: Acronym for American Institute of Architects.
AICPA
Ans: Acronym for American Institute of Certified Public
Accountants
Allocation of Costs
Ans: The partitioning of costs to specific periods of time. This
All rights reserved © 2025/ 2026 |
, Page |4
allocation can include the assignment of assets to expense and
liabilities to revenue.
Examples are depreciation and the amortization of intangibles
over a specified period
of time.
Alternative Minimum Tax (AMT)
Ans: Tax levied with the intent that each taxpayer will
pay their fair share. AMT is designed to prevent taxpayers from
escaping a fair share
of tax liability by excessive use of certain tax breaks. A taxpayer
is subject to AMT if
the taxpayer has certain minimum tax adjustments or tax
preference items and the
alternative minimum taxable income (including adjustment for
any net operating loss)
exceeds the exemption allowed for the taxpayer's filing status
and income level. The
AMT is computed on Form 6251 for individuals and Form 4626
for corporations.
Alternative Minimum Taxable Income (AMTI)
Ans: Used to arrive at the alternative
All rights reserved © 2025/ 2026 |
