ACCT 20103 Final Exam Practice: Key Concepts
and Calculations 2026 With Verified Questions
And Answers
What is true about accrual accounting? - correct answer <<<<<💕💕💕✔✔Expenses are recorded
in the period when they are incurred, and revenue is recorded when it is earned.
What is an economic occurrence that changes an enterprise's assets, liabilities, or stockholder's equity? -
correct answer <<<<<💕💕💕✔✔Transaction.
What type of transaction occurs when one asset increases and another decreases? - correct answer
<<<<<💕💕💕✔✔Asset Exchange.
What are sources of assets to a business? - correct answer <<<<<💕💕💕✔✔All are correct:
Operations, Investors, Creditors.
Which accounts are permanent? - correct answer <<<<<💕💕💕✔✔All Balance Sheet accounts
including Retained Earnings.
How to calculate Retained Earnings for ABC company? - correct answer <<<<<💕💕💕✔✔Retained
Earnings = Total Assets - Liabilities - Common Stock = $1,500 - $500 - $500 = $500.
What are period costs? - correct answer <<<<<💕💕💕✔✔Selling, General, and Administrative
Expenses.
What type of cost are commissions paid to sales staff? - correct answer <<<<<💕💕💕✔✔Period
Cost.
, What type of cost is the wage of factory assembly line workers? - correct answer
<<<<<💕💕💕✔✔Product Cost (Direct Labor).
What is the cost of goods manufactured? - correct answer <<<<<💕💕💕✔✔The total cost of
producing goods during a specific period.
What is the relationship between type of user and type of information? - correct answer
<<<<<💕💕💕✔✔Senior executives need less aggregated information than do lower-level
managers.
How much raw materials did Cancun use in August? - correct answer <<<<<💕💕💕✔✔Raw
materials used = Beginning Inventory + Purchases - Ending Inventory = $3,000 + $25,000 - $5,000 =
$23,000.
How much cost of goods manufactured did Cabo have in August? - correct answer
<<<<<💕💕💕✔✔Cost of Goods Manufactured = Total Manufacturing Costs - Ending Work in
Process = $125,000 - $25,000 = $100,000.
What is a tax? - correct answer <<<<<💕💕💕✔✔A required payment imposed by a government
agency, not directly related to the benefit received.
Which form must individuals use to file their tax return? - correct answer <<<<<💕💕💕✔✔Form
1040.
How to calculate the average tax rate? - correct answer <<<<<💕💕💕✔✔Average Tax Rate = Total
Tax / Total Income.
How to calculate the effective tax rate? - correct answer <<<<<💕💕💕✔✔Effective Tax Rate =
Total Tax / Taxable Income.
and Calculations 2026 With Verified Questions
And Answers
What is true about accrual accounting? - correct answer <<<<<💕💕💕✔✔Expenses are recorded
in the period when they are incurred, and revenue is recorded when it is earned.
What is an economic occurrence that changes an enterprise's assets, liabilities, or stockholder's equity? -
correct answer <<<<<💕💕💕✔✔Transaction.
What type of transaction occurs when one asset increases and another decreases? - correct answer
<<<<<💕💕💕✔✔Asset Exchange.
What are sources of assets to a business? - correct answer <<<<<💕💕💕✔✔All are correct:
Operations, Investors, Creditors.
Which accounts are permanent? - correct answer <<<<<💕💕💕✔✔All Balance Sheet accounts
including Retained Earnings.
How to calculate Retained Earnings for ABC company? - correct answer <<<<<💕💕💕✔✔Retained
Earnings = Total Assets - Liabilities - Common Stock = $1,500 - $500 - $500 = $500.
What are period costs? - correct answer <<<<<💕💕💕✔✔Selling, General, and Administrative
Expenses.
What type of cost are commissions paid to sales staff? - correct answer <<<<<💕💕💕✔✔Period
Cost.
, What type of cost is the wage of factory assembly line workers? - correct answer
<<<<<💕💕💕✔✔Product Cost (Direct Labor).
What is the cost of goods manufactured? - correct answer <<<<<💕💕💕✔✔The total cost of
producing goods during a specific period.
What is the relationship between type of user and type of information? - correct answer
<<<<<💕💕💕✔✔Senior executives need less aggregated information than do lower-level
managers.
How much raw materials did Cancun use in August? - correct answer <<<<<💕💕💕✔✔Raw
materials used = Beginning Inventory + Purchases - Ending Inventory = $3,000 + $25,000 - $5,000 =
$23,000.
How much cost of goods manufactured did Cabo have in August? - correct answer
<<<<<💕💕💕✔✔Cost of Goods Manufactured = Total Manufacturing Costs - Ending Work in
Process = $125,000 - $25,000 = $100,000.
What is a tax? - correct answer <<<<<💕💕💕✔✔A required payment imposed by a government
agency, not directly related to the benefit received.
Which form must individuals use to file their tax return? - correct answer <<<<<💕💕💕✔✔Form
1040.
How to calculate the average tax rate? - correct answer <<<<<💕💕💕✔✔Average Tax Rate = Total
Tax / Total Income.
How to calculate the effective tax rate? - correct answer <<<<<💕💕💕✔✔Effective Tax Rate =
Total Tax / Taxable Income.
