ACC1001
Accounting 1
Finals Exam (Qns & Ans)
2025
General Instructions
1. Read All Questions Carefully: Make sure you understand each question.
2. Time Management: You have a specific amount of time to complete the exam.
Keep an eye on the clock and pace yourself.
3. Allowed Materials: Only use materials that are explicitly allowed. Unauthorized
materials can lead to disqualification.
4. ANS Format: Follow the required format for your ANS. For example, multiple-
choice questions might need you to select the best ANS, while essay questions
require detailed responses.
5. Academic Integrity: Adhere to the university's honor code. Any form of cheating or
plagiarism is strictly prohibited.
6. Technical Requirements: Ensure your computer and internet connection are
stable. For online exams, you might need a webcam and microphone for proctoring
purposes.
7. Submission: Submit your ANS before the time expires. Late submissions might
not be accepted.
©2024/2025
,1. Which of the following is considered a primary purpose of
financial accounting?
A) Tax compliance
B) Managerial decision-making
C) Providing financial information to external users
D) Compliance with internal policies
ANS: C
Rationale: The primary purpose of financial accounting is to
provide financial information to external users such as investors,
creditors, and regulatory authorities.
2. Which financial statement provides a snapshot of a company’s
financial position at a specific point in time?
A) Income Statement
B) Statement of Cash Flows
C) Balance Sheet
D) Statement of Equity
ANS: C
©2024/2025
, Rationale: The Balance Sheet presents a company’s assets,
liabilities, and equity as of a specific date, indicating its financial
position.
3. The accrual basis of accounting recognizes revenues when
they are:
A) Collected
B) Earned, regardless of cash receipt
C) Recorded in the bank
D) Billed to customers
ANS: B
Rationale: Under the accrual basis of accounting, revenue is
recognized when it is earned, not when cash is received.
4. Which organization is primarily responsible for setting
accounting standards in the United States?
A) IASB
B) FASB
C) SEC
D) AAA
ANS: B
©2024/2025
Accounting 1
Finals Exam (Qns & Ans)
2025
General Instructions
1. Read All Questions Carefully: Make sure you understand each question.
2. Time Management: You have a specific amount of time to complete the exam.
Keep an eye on the clock and pace yourself.
3. Allowed Materials: Only use materials that are explicitly allowed. Unauthorized
materials can lead to disqualification.
4. ANS Format: Follow the required format for your ANS. For example, multiple-
choice questions might need you to select the best ANS, while essay questions
require detailed responses.
5. Academic Integrity: Adhere to the university's honor code. Any form of cheating or
plagiarism is strictly prohibited.
6. Technical Requirements: Ensure your computer and internet connection are
stable. For online exams, you might need a webcam and microphone for proctoring
purposes.
7. Submission: Submit your ANS before the time expires. Late submissions might
not be accepted.
©2024/2025
,1. Which of the following is considered a primary purpose of
financial accounting?
A) Tax compliance
B) Managerial decision-making
C) Providing financial information to external users
D) Compliance with internal policies
ANS: C
Rationale: The primary purpose of financial accounting is to
provide financial information to external users such as investors,
creditors, and regulatory authorities.
2. Which financial statement provides a snapshot of a company’s
financial position at a specific point in time?
A) Income Statement
B) Statement of Cash Flows
C) Balance Sheet
D) Statement of Equity
ANS: C
©2024/2025
, Rationale: The Balance Sheet presents a company’s assets,
liabilities, and equity as of a specific date, indicating its financial
position.
3. The accrual basis of accounting recognizes revenues when
they are:
A) Collected
B) Earned, regardless of cash receipt
C) Recorded in the bank
D) Billed to customers
ANS: B
Rationale: Under the accrual basis of accounting, revenue is
recognized when it is earned, not when cash is received.
4. Which organization is primarily responsible for setting
accounting standards in the United States?
A) IASB
B) FASB
C) SEC
D) AAA
ANS: B
©2024/2025
