Practice Test GeeksCAPA - Certified Accounts Payable Associate Practice Test
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CAPA Financial Reporting Flashcards

6 cards from real CAPA practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.

Read the first 6 CAPA Financial Reporting flashcards as text

  1. What is the purpose of a three-way match in AP financial reporting?

    Answer: To match invoice, purchase order, and receiving report

    A three-way match verifies that the purchase order, receiving report, and vendor invoice all agree before authorizing payment to a vendor.

  2. Which AP KPI measures the percentage of invoices processed without manual intervention?

    Answer: Straight-Through Processing Rate

    Straight-through processing rate measures the percentage of invoices processed automatically without manual intervention or correction.

  3. In accrual accounting, when should an AP expense be recognized?

    Answer: When goods or services are received

    Under accrual accounting, expenses are recognized when goods or services are received, not when payment is made.

  4. What is a 'debit memo' in accounts payable?

    Answer: A document reducing the amount owed to a vendor

    A debit memo reduces the amount owed to a vendor, typically issued due to returned goods, defective products, or billing errors.

  5. What is the purpose of a chart of accounts in AP financial reporting?

    Answer: To categorize and code transactions to the correct GL accounts

    A chart of accounts provides a standardized coding system ensuring all AP transactions are recorded in the correct general ledger accounts.

  6. What does 'cutoff' mean in AP period-end reporting?

    Answer: Ensuring transactions are recorded in the correct accounting period

    Cutoff procedures ensure all AP transactions are recorded in the correct accounting period, preventing misstatement of liabilities and expenses.

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