Finance CDFA Study Set UPDATED ACTUAL Questions and CORRECT Answers
The double-entry accounting system is called double-en-
try because
a. It was invented by an Italian
Each entry has two sides to it - a debit and credit
b. It was invented during the Renaissance
c. You have to enter every transaction two or more times
d. Each entry has two sides to it - a debit and credit
A journal includes what information
a. Debits only
b. Credits only Debits and credits
c. Debits and credits
d. None of the above
GAAP stands for
a. Generally accepted auditing practices
b. Generally accepted accounting practices Generally accepted accounting principles
c. Generally accepted accounting principles
d. Government accepted accounting procedures
The database of accounting information is called
a. Accounting ledger
b. General ledger General ledger
c. Transaction database
d. Annual financial report
The three key financial statements are
a. Balance Sheet, Overhead Statement, Cashflow State-
ment
b. Balance Sheet, Income Statement, Cashflow Statement
Balance Sheet, Income Statement, Cashflow Statement
c. Balance Sheet, Income Statement, Statement of Re-
tained Earnings
d. Income Statement, Cashflow Statement, Overhead
Statement
, The three key financial statements are
a. Unorganized lists of accounting data
b. Summaries of the general ledger Summaries of the general ledger
c. Database results
d. Too detailed to use
Cash management refers to doing what with cash?
All the Above
a. Collecting only
a. Collecting only
b. Managing only
b. Managing only
c. Investing only
c. Investing only
d. All of the above
Cash management helps businesses avoid what?
a. Insolvency
b. Being audited Insolvency
c. Losing any customers/clients
d. Losing employees
The cash flow statement is
a. Detailed list of cash receipts
b. Detailed analysis of the cash accounts
Detailed analysis of the cash accounts
c. Analysis of operational profit
d. Detailed analysis of the current retained earnings ac-
count
The formula of the balance sheet is
a. Equity = Revenue - Expenses
b. Assets = Liabilities + Net Revenue Assets = Liabilities + Equity
c. Assets = Liabilities + Equity
d. Current Retained Earnings = Revenue - Expenses
The balance sheet
All the Above
a. Is the super-summary of the general ledger
a. Is the super-summary of the general ledger
b. Is the mother of all financial statements
The double-entry accounting system is called double-en-
try because
a. It was invented by an Italian
Each entry has two sides to it - a debit and credit
b. It was invented during the Renaissance
c. You have to enter every transaction two or more times
d. Each entry has two sides to it - a debit and credit
A journal includes what information
a. Debits only
b. Credits only Debits and credits
c. Debits and credits
d. None of the above
GAAP stands for
a. Generally accepted auditing practices
b. Generally accepted accounting practices Generally accepted accounting principles
c. Generally accepted accounting principles
d. Government accepted accounting procedures
The database of accounting information is called
a. Accounting ledger
b. General ledger General ledger
c. Transaction database
d. Annual financial report
The three key financial statements are
a. Balance Sheet, Overhead Statement, Cashflow State-
ment
b. Balance Sheet, Income Statement, Cashflow Statement
Balance Sheet, Income Statement, Cashflow Statement
c. Balance Sheet, Income Statement, Statement of Re-
tained Earnings
d. Income Statement, Cashflow Statement, Overhead
Statement
, The three key financial statements are
a. Unorganized lists of accounting data
b. Summaries of the general ledger Summaries of the general ledger
c. Database results
d. Too detailed to use
Cash management refers to doing what with cash?
All the Above
a. Collecting only
a. Collecting only
b. Managing only
b. Managing only
c. Investing only
c. Investing only
d. All of the above
Cash management helps businesses avoid what?
a. Insolvency
b. Being audited Insolvency
c. Losing any customers/clients
d. Losing employees
The cash flow statement is
a. Detailed list of cash receipts
b. Detailed analysis of the cash accounts
Detailed analysis of the cash accounts
c. Analysis of operational profit
d. Detailed analysis of the current retained earnings ac-
count
The formula of the balance sheet is
a. Equity = Revenue - Expenses
b. Assets = Liabilities + Net Revenue Assets = Liabilities + Equity
c. Assets = Liabilities + Equity
d. Current Retained Earnings = Revenue - Expenses
The balance sheet
All the Above
a. Is the super-summary of the general ledger
a. Is the super-summary of the general ledger
b. Is the mother of all financial statements
