In The Church of Jesus Christ of Latter-day Saints, the prophet Joseph Smith received revelation that tells us that God did not create things from absolutely nothing. Here are a few verses that teach us of some of the things that God cannot do:
Doctrine and Covenants 93:29
29 Man was also in the beginning with God. Intelligence, or the light of truth, was not created or made, neither indeed can be.
Here the Lord teaches us that a part of man which makes up his intelligence was not created or made and neither indeed can be. In other words, the intelligence of man is self existing and could never be created or made.
Abraham 3:18
18 Howbeit that he made the greater star; as, also, if there be two spirits, and one shall be more intelligent than the other, yet these two spirits, notwithstanding one is more intelligent than the other, have no beginning; they existed before, they shall have no end, they shall exist after, for they are gnolaum, or eternal.
Here Abraham tells us the same thing. There is a part of mankind which is the intelligent part of mankind that is gnolaum or eternal and has always existed or in other words is self-existent.
Doctrine and Covenants 93:33
33 For man is spirit. The elements are eternal, and spirit and element, inseparably connected, receive a fulness of joy;
In this verse we are taught that the elements are eternal or in other words they have always existed. Therefore we do not believe that God creates out of nothing but that he has taken the materials of the universe to create worlds without number. In the case of intelligent beings, God has taken self existent intelligence and self existent elements and through the process of creation and procreation He has combined them into creations and living creatures. The spirits of mankind are a combination of eternal intelligence and eternal matter that are the literal offspring of God.
Doctrine and Covenants 131:7-8
7 There is no such thing as immaterial matter. All spirit is matter, but it is more fine or pure, and can only be discerned by purer eyes;
8 We cannot see it; but when our bodies are purified we shall see that it is all matter.
Acts 17:28-29
28 For in him we live, and move, and have our being; as certain also of your own poets have said, For we are also his offspring.
29 Forasmuch then as we are the offspring of God, we ought not to think that the Godhead is like unto
gold, or silver, or stone, graven by art and man’s device.
Here Paul the Apostle teaches us that we are the offspring of God.
Hebrews 12:9
9 Furthermore we have had fathers of our flesh which corrected us, and we gave them reverence: shall we not much rather be in subjection unto the Father of spirits, and live?
Here the Apostle Paul teaches us that God the Father is the Father of our spirits.
From the above we learn that God creates us from eternal matter and eternal intelligence. If those intelligences which He uses to create us are not perfect intelligences, then God cannot create us perfect. Since he cannot create intelligence, He must use the self existent intelligences that are already in existence. Thus God cannot create us to be perfect unless our intelligence is already perfect. Jesus may be a rare example of one who was a perfect intelligence. If God cannot create us all to be perfect, then he must use other means to guide us toward perfection. For this reason he has sent us to a mortal world to learn good and evil and through our own free will and choice we can choose to either become a good being or an evil being. Knowing that without free will, no being can be truly good or evil in and of himself, God grants and honors free will and choice.
So in summary, I believe that God does not create ex nihilo nor can he. I believe that God cannot create our intelligence because our intelligences are self existing. Thus God must use teachings and experiences to help us learn to become perfect like himself. This life is a means of giving us a knowledge of good and evil and an understanding of the true nature of existence.
Matthew 5:48
48 Be ye therefore perfect, even as your Father which is in heaven is perfect.