IU A100 Final Exam Questions with Verified Correct Answers 2026/2027

IU A100 Final Exam Questions with Verified
Correct Answers
Debt to Equity Ratio - CORRECT ANSWER -Avg Liability / Avg Equity


Inventory Turnover Ratio - CORRECT ANSWER -COGS / Avg Inventory


Balance Sheet Equation - CORRECT ANSWER -Assets = Liabilities + Equity


Interest Payable - CORRECT ANSWER -Begin +Interest Accrued -Payments made
=End


Notes Payable - CORRECT ANSWER -Begin +Additional Funds Borrowed -Payments
made =End


Utilities Payable - CORRECT ANSWER -Begin +Expense Incurred -Amounts Paid
=End


Accounts Receivable - CORRECT ANSWER -Begin +Sales -Cash Collected =End


Accounts Payable - CORRECT ANSWER -Begin +Purchases -Amount Paid =End


Inventory - CORRECT ANSWER -Begin +Purchases -COGS =End

, Prepaid Amounts - CORRECT ANSWER -Begin +Additional Payments -Expense =End


Current Ratio - CORRECT ANSWER -Current Assets / Current Liabilities


Earnings Per Share - CORRECT ANSWER -Net Income / # of Outstanding Shares


Current Liabilities - CORRECT ANSWER -Accounts Payable; Wages Payable; Utilities
Payable; Short-term Notes Payable


Long Term Liabilities - CORRECT ANSWER -Notes Payable; Bonds Payable


Stockholder's Equity - CORRECT ANSWER -Common Stock; Retained Earnings


Statement of Retained Earnings - CORRECT ANSWER -Begin +Net Income -
Dividends =End


Depreciation Location - CORRECT ANSWER -Depreciation expense = Income
Statement; Accumulated Depreciation = PP&E in Assets


Interest Location - CORRECT ANSWER -Interest Payable = Long-Term Liability;
Interest Expense = Income Statement


Insurance Location - CORRECT ANSWER -Prepaid Insurance = Current Asset;
Insurance Expense = Income Statement