WGU C213. PRE-ASSESSMENT: ACCOUNTING FOR DECISION MAKERS PVAC

What does accounting focus on? - Answer- The impact a business's activities have on its overall financial performance Which report summarizes cash collections and cash expenditures from operating, investing, and financing activities over a period of time? - Answer- Statement of cash flows Which users would have a primary concern with an organization's ability to provide healthcare benefits? - Answer- Employees Which body regulates a certified public accounting firm's audit practices when the firm is auditing a large publicly traded company? - Answer- The Public Company Accounting Oversight Board (PCAOB) What has had the most significant impact on accounting practices? - Answer- Information technology What two items of information are revealed on the balance sheet? Choose 2 answers - Answer- Ownership. Debt Which term is defined as the residual interest in the net assets of a company? - Answer- Owners' equity A corporation has total liabilities of $300 million, total owners' equity of $100 million, and current assets of $50 million. What is the value of the firm's long-term assets? - Answer- $350 million Which situation should result in revenue recognition on the income statement for the year ending 12/31/14 if the firm is using accrual-basis accounting? - Answer- In 2014, a company provides services to a customer for which cash will be collected the next year (2015). Which category on the statement of cash flows summarizes cash receipts and payments to owners and creditors of the company? - Answer- Cash flows from financing activities Where would an investor find a summary of a company's significant accounting policies? - Answe