1|Page
CFI CBCA Core Exams Newest 2025/2026 Actual Exam
Complete All Questions And Correct Detailed Answers
(Verified Answers) |Already Graded A+/ Latest Exam!!!
What is the main goal of using business writing
fundamentals? - Answer-To reduce mental effort
Which of the following statements describes a "Capacity"
strength or weakness for a company in the 5 Cs of credit
framework? - Answer-The net profit margin ratio is high.
Which of the following statements describes a "Condition"
strength or weakness for a company in the 5 Cs of credit
framework? - Answer-The risks associated with the
industry are high.
Which of the following scenarios would NOT be
considered a strength when assessing the management
team as part of evaluating a company's character? -
Answer-Financial reports are not widely shared and
performance measures have not been identified.
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Which of the following ratios most likely indicates strong
"Capacity" for a company? - Answer-High asset turnover
ratio
Select the correct formula to calculate the operating
margin ratio. - Answer-Operating Margin Ratio = EBIT /
Revenue
Select the correct formula to calculate the inventory
turnover ratio. - Answer-Inventory Turnover Ratio = Cost of
Goods Sold / Average Inventory
Which of the following most likely indicates strong
"Capital" for a company? - Answer-Unutilized lines of
credit or loans
Which of the following statements on collateral is NOT
correct? - Answer-Collateral can be used as the main
determinant of a credit decision.
Which of the following tools or methods is used to assess
the general business environment? - Answer-PEST
analysis
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Select the loan contract with the lowest risk. - Answer-A
demand loan with monthly payments secured by assets
Which is not one of the three main financial statements? -
Answer-Statement of equity
What does the balance sheet indicate? - Answer-The
financial strength of the business
Financing activities - Answer-Issuing shares and bonds
Operating activities - Answer-Payments to suppliers;
Depreciation and amortization expense
Investing activities - Answer-Buying and selling equipment
Which is not a section in the financial statement note
disclosures? - Answer-Management discussion and
analysis
Balance Sheet - Answer-Retained earnings; Share captial
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Income Statement - Answer-Rent expense
Cash Flow Statement - Answer-Sale of property, plant and
equipment
If a company has net assets equal to $3.25 million but is
sold for $5.35 million, how much goodwill does the
acquirer record on their balance sheet? - Answer-$2.1
million
Intangible assets - Answer-Items of value, which have no
physical substance, that are used to generate revenues
Authorized shares - Answer-The total number of shares a
company can sell
Contingencies - Answer-Events that may or may not
happen, depending on certain circumstances
Commitments - Answer-Future obligations that a company
has agreed to
CFI CBCA Core Exams Newest 2025/2026 Actual Exam
Complete All Questions And Correct Detailed Answers
(Verified Answers) |Already Graded A+/ Latest Exam!!!
What is the main goal of using business writing
fundamentals? - Answer-To reduce mental effort
Which of the following statements describes a "Capacity"
strength or weakness for a company in the 5 Cs of credit
framework? - Answer-The net profit margin ratio is high.
Which of the following statements describes a "Condition"
strength or weakness for a company in the 5 Cs of credit
framework? - Answer-The risks associated with the
industry are high.
Which of the following scenarios would NOT be
considered a strength when assessing the management
team as part of evaluating a company's character? -
Answer-Financial reports are not widely shared and
performance measures have not been identified.
,2|Page
Which of the following ratios most likely indicates strong
"Capacity" for a company? - Answer-High asset turnover
ratio
Select the correct formula to calculate the operating
margin ratio. - Answer-Operating Margin Ratio = EBIT /
Revenue
Select the correct formula to calculate the inventory
turnover ratio. - Answer-Inventory Turnover Ratio = Cost of
Goods Sold / Average Inventory
Which of the following most likely indicates strong
"Capital" for a company? - Answer-Unutilized lines of
credit or loans
Which of the following statements on collateral is NOT
correct? - Answer-Collateral can be used as the main
determinant of a credit decision.
Which of the following tools or methods is used to assess
the general business environment? - Answer-PEST
analysis
,3|Page
Select the loan contract with the lowest risk. - Answer-A
demand loan with monthly payments secured by assets
Which is not one of the three main financial statements? -
Answer-Statement of equity
What does the balance sheet indicate? - Answer-The
financial strength of the business
Financing activities - Answer-Issuing shares and bonds
Operating activities - Answer-Payments to suppliers;
Depreciation and amortization expense
Investing activities - Answer-Buying and selling equipment
Which is not a section in the financial statement note
disclosures? - Answer-Management discussion and
analysis
Balance Sheet - Answer-Retained earnings; Share captial
, 4|Page
Income Statement - Answer-Rent expense
Cash Flow Statement - Answer-Sale of property, plant and
equipment
If a company has net assets equal to $3.25 million but is
sold for $5.35 million, how much goodwill does the
acquirer record on their balance sheet? - Answer-$2.1
million
Intangible assets - Answer-Items of value, which have no
physical substance, that are used to generate revenues
Authorized shares - Answer-The total number of shares a
company can sell
Contingencies - Answer-Events that may or may not
happen, depending on certain circumstances
Commitments - Answer-Future obligations that a company
has agreed to
