WGU D103 OA INTERMEDIATE ACCOUNTING I
|ACTUAL QUESTIONS AND VERIFIED ANSWERS
|BRAND NEW 2026-2027 UPDATE|GRADED A+
Question 1
Gross billings for merchandise sold by Lang Company to its customers last year amounted
to $12,720,000; sales returns and allowances were $370,000, sales discounts were
$175,000, and freight-out was $140,000. What were net sales last year for Lang Company?
A) $12,720,000
B) $12,175,000
C) $12,035,000
D) $12,350,000
CORRECT ANSWER
B) $12,175,000
Gross Billings - Returns & Allowances - Discounts = Net Sales ($12,720,000 - $370,000 -
$175,000 = $12,175,000). Freight out is a selling expense and not included in the
calculation of Net Sales.
Question 2
What entity was established by the federal government to help develop and standardize
financial information presented to stockholders?
A) SEC (Securities and Exchange Commission)
B) AICPA (American Institute of Certified Public Accountants)
C) FASB (Financial Accounting Standards Board)
D) CAP (Committee on Accounting Procedure)
1
,CORRECT ANSWER
A) SEC (Securities and Exchange Commission)
Question 3
What is a significant difference between the FASB (Financial Accounting Standards Board)
and its predecessor, the APB?
A) More centralized representation
B) Larger membership
C) Increased independence
D) Less autonomy
CORRECT ANSWER
C) Increased independence
Question 4
Which publication is considered a GAAP document?
A) AICPA Research Notifications
B) APB Opinions
C) FASB Opinions
D) Statements of Financial Accounting Concepts
CORRECT ANSWER
B) APB Opinions
Question 5
2
, What is part of generally accepted accounting principles?
A) CAP Intepretations
B) AICPA Research Analysis
C) APB Opinions
D) FASB Opinions
CORRECT ANSWER
C) APB Opinions
Question 6
Which organization requires that members prepare financial statements in accordance
with GAAP?
A) Internal Revenue Service (IRS)
B) Financial Accounting Standards Board (FASB)
C) AICPA's Code of Professional Conduct
D) International Accounting Standards Board (IASB)
CORRECT ANSWER
C) AICPA's Code of Professional Conduct
Question 7
Which level of the conceptual framework is devoted to elements of financial statements
and the qualitative characteristics?
A) 2nd
B) 3rd
3
|ACTUAL QUESTIONS AND VERIFIED ANSWERS
|BRAND NEW 2026-2027 UPDATE|GRADED A+
Question 1
Gross billings for merchandise sold by Lang Company to its customers last year amounted
to $12,720,000; sales returns and allowances were $370,000, sales discounts were
$175,000, and freight-out was $140,000. What were net sales last year for Lang Company?
A) $12,720,000
B) $12,175,000
C) $12,035,000
D) $12,350,000
CORRECT ANSWER
B) $12,175,000
Gross Billings - Returns & Allowances - Discounts = Net Sales ($12,720,000 - $370,000 -
$175,000 = $12,175,000). Freight out is a selling expense and not included in the
calculation of Net Sales.
Question 2
What entity was established by the federal government to help develop and standardize
financial information presented to stockholders?
A) SEC (Securities and Exchange Commission)
B) AICPA (American Institute of Certified Public Accountants)
C) FASB (Financial Accounting Standards Board)
D) CAP (Committee on Accounting Procedure)
1
,CORRECT ANSWER
A) SEC (Securities and Exchange Commission)
Question 3
What is a significant difference between the FASB (Financial Accounting Standards Board)
and its predecessor, the APB?
A) More centralized representation
B) Larger membership
C) Increased independence
D) Less autonomy
CORRECT ANSWER
C) Increased independence
Question 4
Which publication is considered a GAAP document?
A) AICPA Research Notifications
B) APB Opinions
C) FASB Opinions
D) Statements of Financial Accounting Concepts
CORRECT ANSWER
B) APB Opinions
Question 5
2
, What is part of generally accepted accounting principles?
A) CAP Intepretations
B) AICPA Research Analysis
C) APB Opinions
D) FASB Opinions
CORRECT ANSWER
C) APB Opinions
Question 6
Which organization requires that members prepare financial statements in accordance
with GAAP?
A) Internal Revenue Service (IRS)
B) Financial Accounting Standards Board (FASB)
C) AICPA's Code of Professional Conduct
D) International Accounting Standards Board (IASB)
CORRECT ANSWER
C) AICPA's Code of Professional Conduct
Question 7
Which level of the conceptual framework is devoted to elements of financial statements
and the qualitative characteristics?
A) 2nd
B) 3rd
3
