1
WGU C213 2025/2026 Exam Questions
and Answers 100% Guaranteed Success
| Already Rated A+
The emphasis in financial accounting is on which of the following external user
groups? - 🧠 ANSWER ✔✔Investors and creditors
The primary internal group that uses accounting information is - 🧠 ANSWER
✔✔Management
Internal reports are generally used by - 🧠 ANSWER ✔✔Management
Which of the following is NOT an external user of financial information? - 🧠
ANSWER ✔✔Management
Which of the following is NOT true of the Financial Accounting Standards Board
(FASB)? - 🧠 ANSWER ✔✔It is a government agency
Generally accepted accounting principles are - 🧠 ANSWER ✔✔Developed by
accounting rule makers
COPYRIGHT©NINJANERD 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE. PRIVACY
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STATEMENT. ALL RIGHTS RESERVED
,2
The current standard-setting board for accounting in the private sector is the - 🧠
ANSWER ✔✔Financial Accounting Standards Board (FASB)
Which of the following is the government agency that stipulates the rules and
regulations that govern the collection of taxes in the United States? - 🧠 ANSWER
✔✔Internal Revenue Service
Standards established by the International Accounting Standards Board are referred
to as - 🧠 ANSWER ✔✔International Financial Reporting Standards
Which of the following organizations has specific legal authority to establish
accounting standards for publicly held companies? - 🧠 ANSWER ✔✔Securities
and Exchange Commission (SEC)
The organization that develops worldwide accounting standards is the - 🧠
ANSWER ✔✔International Accounting Standards Board (IASB)
Which of the following is NOT a reason for the integration of worldwide
accounting standards? - 🧠 ANSWER ✔✔the theoretical necessity of a common set
of accounting standards
The International Accounting Standards Board (IASB) is charged with developing
worldwide accounting practices? - 🧠 ANSWER ✔✔True
COPYRIGHT©NINJANERD 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE. PRIVACY
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STATEMENT. ALL RIGHTS RESERVED
,3
With the current state of information technology, investors outside a company are
now allowed access to a company's internal database of financial information and
do their own customized analysis of a firm's performance. - 🧠 ANSWER ✔✔False
Increased federal oversight of the audit process resulted from the passage of the
following act of Congress - - 🧠 ANSWER ✔✔Sarbanes-Oxley Act
Which of the following is NOT one of the three primary financial statements? - 🧠
ANSWER ✔✔The Statement of Retained Earnings
A borrower benefits from providing financial information regarding income and
expenses in the form of a lower interest rate on the loan because of reduced
uncertainty for the lender with regard to repayment. - 🧠 ANSWER ✔✔True
One reason for a company's preparing and providing financial statements is to
reduce uncertainty for an investor regarding the firm's future financial
performance. - 🧠 ANSWER ✔✔True
A borrower benefits from providing financial information regarding income and
expenses in the form of a lower interest rate on the loan because of reduced
uncertainty for the lender with regard to repayment. - 🧠 ANSWER ✔✔True
COPYRIGHT©NINJANERD 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE. PRIVACY
3
STATEMENT. ALL RIGHTS RESERVED
, 4
One reason for a company's preparing and providing financial statements is to
reduce uncertainty for an investor regarding the firm's future financial
performance. - 🧠 ANSWER ✔✔True
What will increase from the sale of goods or services? - 🧠 ANSWER ✔✔Revenues
Another name for the income statement is - 🧠 ANSWER ✔✔Statement of earnings
Which of the following is an overall measure of the performance of a business
entity's activities? - 🧠 ANSWER ✔✔Net income (or net loss)
Costs that are incurred during the normal operations of a business to generate
revenues are called - 🧠 ANSWER ✔✔Expenses
Revenues cause - 🧠 ANSWER ✔✔An increase in net assets
Expense and revenue accounts appear on the - 🧠 ANSWER ✔✔Income statement
Which of the following would be included on an income statement? - 🧠 ANSWER
✔✔Rent expense
The financial statement that presents a summary of the revenues and expenses of a
business for a specific period of time, such as a month or a year, is called a(n) - 🧠
ANSWER ✔✔Income Statement
COPYRIGHT©NINJANERD 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE. PRIVACY
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STATEMENT. ALL RIGHTS RESERVED
WGU C213 2025/2026 Exam Questions
and Answers 100% Guaranteed Success
| Already Rated A+
The emphasis in financial accounting is on which of the following external user
groups? - 🧠 ANSWER ✔✔Investors and creditors
The primary internal group that uses accounting information is - 🧠 ANSWER
✔✔Management
Internal reports are generally used by - 🧠 ANSWER ✔✔Management
Which of the following is NOT an external user of financial information? - 🧠
ANSWER ✔✔Management
Which of the following is NOT true of the Financial Accounting Standards Board
(FASB)? - 🧠 ANSWER ✔✔It is a government agency
Generally accepted accounting principles are - 🧠 ANSWER ✔✔Developed by
accounting rule makers
COPYRIGHT©NINJANERD 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE. PRIVACY
1
STATEMENT. ALL RIGHTS RESERVED
,2
The current standard-setting board for accounting in the private sector is the - 🧠
ANSWER ✔✔Financial Accounting Standards Board (FASB)
Which of the following is the government agency that stipulates the rules and
regulations that govern the collection of taxes in the United States? - 🧠 ANSWER
✔✔Internal Revenue Service
Standards established by the International Accounting Standards Board are referred
to as - 🧠 ANSWER ✔✔International Financial Reporting Standards
Which of the following organizations has specific legal authority to establish
accounting standards for publicly held companies? - 🧠 ANSWER ✔✔Securities
and Exchange Commission (SEC)
The organization that develops worldwide accounting standards is the - 🧠
ANSWER ✔✔International Accounting Standards Board (IASB)
Which of the following is NOT a reason for the integration of worldwide
accounting standards? - 🧠 ANSWER ✔✔the theoretical necessity of a common set
of accounting standards
The International Accounting Standards Board (IASB) is charged with developing
worldwide accounting practices? - 🧠 ANSWER ✔✔True
COPYRIGHT©NINJANERD 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE. PRIVACY
2
STATEMENT. ALL RIGHTS RESERVED
,3
With the current state of information technology, investors outside a company are
now allowed access to a company's internal database of financial information and
do their own customized analysis of a firm's performance. - 🧠 ANSWER ✔✔False
Increased federal oversight of the audit process resulted from the passage of the
following act of Congress - - 🧠 ANSWER ✔✔Sarbanes-Oxley Act
Which of the following is NOT one of the three primary financial statements? - 🧠
ANSWER ✔✔The Statement of Retained Earnings
A borrower benefits from providing financial information regarding income and
expenses in the form of a lower interest rate on the loan because of reduced
uncertainty for the lender with regard to repayment. - 🧠 ANSWER ✔✔True
One reason for a company's preparing and providing financial statements is to
reduce uncertainty for an investor regarding the firm's future financial
performance. - 🧠 ANSWER ✔✔True
A borrower benefits from providing financial information regarding income and
expenses in the form of a lower interest rate on the loan because of reduced
uncertainty for the lender with regard to repayment. - 🧠 ANSWER ✔✔True
COPYRIGHT©NINJANERD 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE. PRIVACY
3
STATEMENT. ALL RIGHTS RESERVED
, 4
One reason for a company's preparing and providing financial statements is to
reduce uncertainty for an investor regarding the firm's future financial
performance. - 🧠 ANSWER ✔✔True
What will increase from the sale of goods or services? - 🧠 ANSWER ✔✔Revenues
Another name for the income statement is - 🧠 ANSWER ✔✔Statement of earnings
Which of the following is an overall measure of the performance of a business
entity's activities? - 🧠 ANSWER ✔✔Net income (or net loss)
Costs that are incurred during the normal operations of a business to generate
revenues are called - 🧠 ANSWER ✔✔Expenses
Revenues cause - 🧠 ANSWER ✔✔An increase in net assets
Expense and revenue accounts appear on the - 🧠 ANSWER ✔✔Income statement
Which of the following would be included on an income statement? - 🧠 ANSWER
✔✔Rent expense
The financial statement that presents a summary of the revenues and expenses of a
business for a specific period of time, such as a month or a year, is called a(n) - 🧠
ANSWER ✔✔Income Statement
COPYRIGHT©NINJANERD 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE. PRIVACY
4
STATEMENT. ALL RIGHTS RESERVED
