WGU C213 Pre - Assessment study guide
With
Answers Graded A+ Latest
1.
What does accounting focus on?: The impact a business's activities have o
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its overall financial performance
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2.
Which report summarizes cash collections and cash expenditures from ope
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rating, investing, and financing activities over a period of time?: Statement of
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g ca sh flows g
3.
Which users would have a primary concern with an organization's ability to p
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rovide healthcare benefits?: Employees
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4. Which body regulates a certified public accounting firm's audit practices w
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hen the firm is auditing a large publicly traded company?: The Public Com-
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g pany Accounting Oversight Board (PCAOB)
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5. What has had the most significant impact on accounting practices?: Infor-
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g mation technology g
6. What two items of information are revealed on the balance sheet?
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Choose 2 answers: Ownership. g g g g
Debt
7.
Which term is defined as the residual interest in the net assets of a compa-
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g ny?: Owners' equity
g g
,8.
A corporation has total liabilities of $300 million, total owners' equity of $100
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million, and current assets of $50 million.
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1
,What is the value of the firm's long-term assets?: $350 million
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9. Which situation should result in revenue recognition on the income state-
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g ment for the year ending 12/31/14 if the firm is using accrual-basis account-
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g ing?: In 2014, a company provides services to a customer for which cash
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will be col lected the next year (2015).
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10.
Which category on the statement of cash flows summarizes cash receipts a
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nd payments to owners and creditors of the company?: Cash flows from finan
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cin g activities g
11. Where would an investor find a summary of a company's significant ac-
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g counting policies?: In the notes to financial statements
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12. Which assurance does an external audit report provide for its readers?: -
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The company's financial statements fairly reflect its financial position
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13. Reliable: Information that can be verified g g g g g
14. Relevant: Information having to do with the matter at hand
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15. Material: Information that is important enough to make a difference
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16. Conservatism: Information related to recognizing losses as they occur g g g g g g g g
17. What are steps in the decision cycle?: 1 Prepare financial statements. 2
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g Analyze financial statements. g g
, 2
With
Answers Graded A+ Latest
1.
What does accounting focus on?: The impact a business's activities have o
g g g g g g g g g g g
its overall financial performance
g g g
2.
Which report summarizes cash collections and cash expenditures from ope
g g g g g g g g g
rating, investing, and financing activities over a period of time?: Statement of
g g g g g g g g g g g
g ca sh flows g
3.
Which users would have a primary concern with an organization's ability to p
g g g g g g g g g g g g
rovide healthcare benefits?: Employees
g g g
4. Which body regulates a certified public accounting firm's audit practices w
g g g g g g g g g g
hen the firm is auditing a large publicly traded company?: The Public Com-
g g g g g g g g g g g g
g pany Accounting Oversight Board (PCAOB)
g g g g
5. What has had the most significant impact on accounting practices?: Infor-
g g g g g g g g g g
g mation technology g
6. What two items of information are revealed on the balance sheet?
g g g g g g g g g g
Choose 2 answers: Ownership. g g g g
Debt
7.
Which term is defined as the residual interest in the net assets of a compa-
g g g g g g g g g g g g g g
g ny?: Owners' equity
g g
,8.
A corporation has total liabilities of $300 million, total owners' equity of $100
g g g g g g g g g g g g g
million, and current assets of $50 million.
g g g g g g
1
,What is the value of the firm's long-term assets?: $350 million
g g g g g g g g g g
9. Which situation should result in revenue recognition on the income state-
g g g g g g g g g g
g ment for the year ending 12/31/14 if the firm is using accrual-basis account-
g g g g g g g g g g g g
g ing?: In 2014, a company provides services to a customer for which cash
g g g g g g g g g g g g g
will be col lected the next year (2015).
g g g g g g
10.
Which category on the statement of cash flows summarizes cash receipts a
g g g g g g g g g g g
nd payments to owners and creditors of the company?: Cash flows from finan
g g g g g g g g g g g g
cin g activities g
11. Where would an investor find a summary of a company's significant ac-
g g g g g g g g g g g
g counting policies?: In the notes to financial statements
g g g g g g g
12. Which assurance does an external audit report provide for its readers?: -
g g g g g g g g g g g
The company's financial statements fairly reflect its financial position
g g g g g g g g
13. Reliable: Information that can be verified g g g g g
14. Relevant: Information having to do with the matter at hand
g g g g g g g g g
15. Material: Information that is important enough to make a difference
g g g g g g g g g
16. Conservatism: Information related to recognizing losses as they occur g g g g g g g g
17. What are steps in the decision cycle?: 1 Prepare financial statements. 2
g g g g g g g g g g g
g Analyze financial statements. g g
, 2
