CFI FMVA FINAL EXAM STUDY 2025/2026 ACCURATE QUESTIONS WITH VERIFIED CORRECT ANSWERS || ALREADY GRADED A+ <RECENT VERSION>

CFI FMVA FINAL EXAM STUDY 2025/2026 ACCURATE QUESTIONS WITH VERIFIED CORRECT ANSWERS || ALREADY GRADED A+ &lt;RECENT VERSION&gt; 1. Cash flow from operating activities - ANSWER The net amount of cash provided from operating activities. 2. cash flow from financing activities - ANSWER The section of the statement of cash flows that reports cash flows from transactions affecting the equity and debt of the business. 3. cash flow from financing activities - ANSWER items related to debt, dividends, and issuing or repurchasing shares 4. cash flow from investing activities - ANSWER The section of the statement of cash flows that reports cash flows from transactions affecting investments in noncurrent assets. 5. cash flow from investing activities - ANSWER involves any cash in or out of the company due to investment in or disposal of fixed assets. 6. Contributed surplus - ANSWER Amount paid for shares in excess of their par value(Balance sheet components) - ANSWER A timing difference due to the difference between accounting income and taxable income. Difference will reverse in the next reporting period. 7. Unearned revenue (Balance sheet components) - ANSWER Revenues that have been collected from customers but have not yet been earned by the company (eg, performance of service has not yet occurred, or product has not yet been delivered). 8. Accounts payable (Balance sheet components) - ANSWER Supplier invoices that relate to the current reporting period but that have not yet been paid. 9. Goodwill (Balance sheet components) - ANSWER The premium paid on the acquisition of another business. 10. Deferred income tax assets (expected to reverse in 12 months) (Balance sheet components) - ANSWER A timing difference due to the difference between accounting income and taxable income. Difference will reverse in the next reporting period. 11. Unearned revenue (Balance sheet components) - ANSWER Revenues that have been collected from customers but have not yet been earned by the company (eg, performance of service has not yet occurred, or product has not yet been delivered). 12. Accounts payable (Balance sheet components) - ANSWER Supplier invoices that relate to the current reporting period but that have not yet been paid. 13. Retained earnings (Balance sheet components) - ANSWER The accumulated profits and losses of the business since inception. If the company has more losses than profit, then this would be stated as "retained deficit". 14. Intangible assets (Balance sheet components) - ANSWER Long term assets of the business that have no physical substance. Examples include licences, patents and trademarks. 15. Capital lease obligation (Balance sheet components) - ANSWER Capital leases are leases that are related to specific assets. They act the same as a loan - except instead of borrowing money to purchase the item outright, the company leases the asset - but all the benefits of ownership are substantially transferred through the lease. 16. Accrued liabilities (Balance sheet components) - ANSWER Liabilities that are related to the current reporting period but have not been paid. Typical accrued liabilities include compensation, audit and legal fees. 17. Prepaid expenses (Balance sheet components) - ANSWER Expenses that have been incurred where the service has not as yet been "earned"/delivered. Typical prepaid expenses include insurance, rent and utilities. Preferred shares/stock 18. get your point across - ANSWER make sure the others understand what you are thinking of 19. Navigation Pane - ANSWER A tool that appears in the left side of the window when you select its command in the Show command group. 20. ribbon - ANSWER A strip of icons that appears across the top of the PowerPoint window; divided into tabs, each of which contains groups of related tools. 21. Placeholder - ANSWER a boxed outline on a slide that can be used to insert text or an object when clicked 22. polished - ANSWER shiny as a result of being rubbed 23. rubbed - ANSWER touched something while moving backwards and forwards 24. Bereable - ANSWER able to be endured. 25. gut-wrenching - ANSWER extremely unpleasant or upsetting 26. cues - ANSWER a thing said or done that serves as a signal to an actor or other performer to enter or to begin their speech or performance. 27. framing - ANSWER place (a picture or photograph) in a frame. 28. jump in - ANSWER enter a conversation - "Feel free to jump in at any moment while we are talking." 29. authorised share capital - ANSWER Maximum number of shares that a company can issue, as specified in the firm's memorandum of association 30. outstanding share capital - ANSWER Issued share capital less the par value of shares that are held in the company's treasury. 31. inventory - ANSWER the quantity of goods that a firm has on hand 32. inventory - ANSWER a complete list of items such as property, goods in stock, or the contents of a building. 33. Working Capital - ANSWER current assets - current liabilities 34. Net Working Capital - ANSWER current assets minus current liabilities 35. current assets - ANSWER cash and other assets expected to be exchanged for cash or consumed within a year 36. Current Liabilities - ANSWER liabilities due within a short time, usually within a year 37. Current assets include - ANSWER cash, marketable securities, accounts receivable, and inventories 38. Current liabilities include - ANSWER notes payable, accounts payable, unearned revenues, and accrued liabilities such as taxes, salaries and wages, and interest. 39. Current liabilities include - ANSWER Accounts Payable Short-Term Notes Payable Wages Payable Taxes Payable Interest Payable 40. Contingencies - ANSWER possible outcomes; different plans based on varying circumstances 41. Unearned Revenue - ANSWER A liability created when a business collects cash from customers in advance of providing services or delivering goods. 42. Common Shares - ANSWER Represent an ownership interest, a residual claim on the firm's assets in liquidation, and govern through voting rights; No obligation for firm to pay a dividend; Can proxy their votes to others; 43. Preferred Shares - ANSWER Shares of stock that entitle owner to a fixed dividend amount. Dividend must be paid by the company before common stock owners get paid. Shareholders usually do not have voting rights. 44. Preferred Shares - ANSWER stock that gives its owners preference in the payment of dividends and an earlier claim on assets than common shareholders if the company is forced out of business and its assets are sold 45. deferred income taxes - ANSWER A liability account to pay income taxes that have been postponed to a future year's income tax return. In some cases, this account can also be an asset account representing income taxes to be saved in a future year's income tax return. 46. Goodwill - ANSWER amount paid for an existing business above the value of its other assets 47. goodwill - ANSWER the value of all favourable attributes that relate to a company that are not attributable to any other specific asset 48. Goodwill (accounting) - ANSWER price paid in excess of the fair market value of assets acquired 49. intangible assets - ANSWER assets that do not have physical substance 50. intangible assets - ANSWER long-term assets (e.g., patents, trademarks, copyrights) that have no real physical form but do have value 51. intangible assets - ANSWER Rights, privileges, and competitive advantages that result from the ownership of long-lived assets that do not possess physical substance. 52. Tangible assets include - ANSWER land, land improvements, buildings, equipment, and natural resources 53. Intangible assets include - ANSWER patents, trademarks, copyrights, franchises, and goodwill 54. Intangible assets include - ANSWER goodwill, patents, copyrights, and trademarks or trade names 55. Other Comprehensive Income (OCI) - ANSWER certain gains and losses that are excluded from the calculation of net income, but included in the calculation of comprehensive income 56. Other Comprehensive Income (OCI) - ANSWER changes in stockholders' equity other than transactions with owners and other than items that affect net income 57. Net Income - ANSWER the difference between total revenue and total expenses when total revenue is greater 58. profit margin - ANSWER net income/net sales 59. Operating Profit Margin - ANSWER Operating profit / sales revenue x 100 60. Operating Profit Margin - ANSWER EBIT/Sales 61. operating profit - ANSWER Sales revenue - cost of sales - operating expenses 62. operating profit - ANSWER gross profit - operating expenses 63. Costs of Goods Sold (COGS) - ANSWER The direct expense related to producing the goods or services sold by a company. This can include the cost of the raw materials (Parts) 64. Cost of Goods Sold (COGS) - ANSWER beginning inventory + purchases - ending inventory 65. Assets include - ANSWER prepaid expenses, deferred income tax assets, goodwill 66. Liabilities include - ANSWER unearned revenue, contingencies, capital lease obligations 67. Shareholders' Equity includes - ANSWER common stock and retained earnings common stock and contributed surplus Accounts receivable 68. (Balance sheet components) - ANSWER Customers who have purchased on credit - accounts to be collected. 69. Contributed surplus - ANSWER money that has been invested in the firm by outside parties 70. Contributed surplus - ANSWER A source of contributed capital that can result from certain types of equity transactions, including the reacquisition of shares. 71. Straightline depreciation - ANSWER Allocates equal amounts of plant assets net cost to depreciation during its useful life. 72. Accounts Receivable - ANSWER Amounts to be r