WGU C213 Topics 1-6 Quizzes (Latest
Update ) Questions & Answers
100% Correct - (Grade A)
Which of the following distinguishes between current and long-term assets? - correct
answer Classified balance sheet
Which of the following financial statements provides a picture of the enterprise at a
particular point in time? - correct answer Balance sheet
Which of the following is the reason that the accounting equation is true by
definition? - correct answer Liabilities and owner's equity are the sources that fund
the purchase of assets
The idea that businesses must be accounted for as though they will exist at least for
the forseeable future is the? - correct answer Going concern concept
Revenues cause? - correct answer An increase in net assets
Which of the following is an overall measure of the performance of a business entity's
activities? - correct answer Net income (or net loss)
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)? -
correct answer Income Statement
, WGU C213 Topics 1-6 Quizzes (Latest
Update ) Questions & Answers
100% Correct - (Grade A)
Which of the following would be included on an income statement? - correct answer
Rent expense
Another name for the income statement is? - correct answer Statement of earnings
Which of the following classification does NOT appear on the Statement of Cash
Flows? - correct answer Borrowing
Which of the following classifications refers to those activities whereby cash is
obtained or repaid to owners and creditors? - correct answer Financing
Which of the following activities would NOT be classified as an investing activity? -
correct answer Purchase of inventory
Which of the following activities would be classified as a financing activity? - correct
answer Repayment of a loan
Vital information that CANNOT be captured solely by dollar amounts is reported in a
firm's... - correct answer Notes to financial statements
, WGU C213 Topics 1-6 Quizzes (Latest
Update ) Questions & Answers
100% Correct - (Grade A)
Which of the following is NOT one of the four general types of financial statement
notes? - correct answer Supplementary information required by the Internal Revenue
Service
Which of the following is an example of a significant accounting policy that would be
explained in the notes to the financial statements? - correct answer The method used
to estimate depreciation on a piece of equipment
Which of the following is an example of a disclosure of information NOT recognized
that would be explained in the notes to the financial statements? - correct answer The
disclosure of the uncertain, potential outcome of a lawsuit
Which of the following is an example of additional information about summary totals
that would be explained in the notes to the financial statements? - correct answer The
description of all the individual items that comprise notes payable
An independent audit report is usually issued by? - correct answer A certified public
accountant
In completing an audit of a company's financial statements, auditors... - correct
answer Provide some assurance that the financial statements are not misleading
, WGU C213 Topics 1-6 Quizzes (Latest
Update ) Questions & Answers
100% Correct - (Grade A)
The accuracy of the information contained in the financial statements is the
responsibility of the? - correct answer Management
Which of the following are the two economic factors that enable us to trust an
independent auditor despite the fact that the auditor was hired by the company
being audited? - correct answer Reputation of auditor and risk of lawsuits
The idea that certain figures on an operating statement help to explain changes in
figures on comparative balance sheets is referred to as... - correct answer Articulation
The idea that information becomes more useful when it can be related to a
benchmark or a standard is referred to as... - correct answer Comparability
The notion that when doubt exists concerning two or more reporting alternatives,
users should select the alternative with the least favorable impact on reported
income, assets, and liabilities is referred to as... - correct answer Conservatism
Whether an item is big enough that proper accounting will make a difference to users
of accounting information is referred to as... - correct answer Materiality
The notion that information will be more useful if it will impact a decision is referred
to as... - correct answer Relevance
Update ) Questions & Answers
100% Correct - (Grade A)
Which of the following distinguishes between current and long-term assets? - correct
answer Classified balance sheet
Which of the following financial statements provides a picture of the enterprise at a
particular point in time? - correct answer Balance sheet
Which of the following is the reason that the accounting equation is true by
definition? - correct answer Liabilities and owner's equity are the sources that fund
the purchase of assets
The idea that businesses must be accounted for as though they will exist at least for
the forseeable future is the? - correct answer Going concern concept
Revenues cause? - correct answer An increase in net assets
Which of the following is an overall measure of the performance of a business entity's
activities? - correct answer Net income (or net loss)
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)? -
correct answer Income Statement
, WGU C213 Topics 1-6 Quizzes (Latest
Update ) Questions & Answers
100% Correct - (Grade A)
Which of the following would be included on an income statement? - correct answer
Rent expense
Another name for the income statement is? - correct answer Statement of earnings
Which of the following classification does NOT appear on the Statement of Cash
Flows? - correct answer Borrowing
Which of the following classifications refers to those activities whereby cash is
obtained or repaid to owners and creditors? - correct answer Financing
Which of the following activities would NOT be classified as an investing activity? -
correct answer Purchase of inventory
Which of the following activities would be classified as a financing activity? - correct
answer Repayment of a loan
Vital information that CANNOT be captured solely by dollar amounts is reported in a
firm's... - correct answer Notes to financial statements
, WGU C213 Topics 1-6 Quizzes (Latest
Update ) Questions & Answers
100% Correct - (Grade A)
Which of the following is NOT one of the four general types of financial statement
notes? - correct answer Supplementary information required by the Internal Revenue
Service
Which of the following is an example of a significant accounting policy that would be
explained in the notes to the financial statements? - correct answer The method used
to estimate depreciation on a piece of equipment
Which of the following is an example of a disclosure of information NOT recognized
that would be explained in the notes to the financial statements? - correct answer The
disclosure of the uncertain, potential outcome of a lawsuit
Which of the following is an example of additional information about summary totals
that would be explained in the notes to the financial statements? - correct answer The
description of all the individual items that comprise notes payable
An independent audit report is usually issued by? - correct answer A certified public
accountant
In completing an audit of a company's financial statements, auditors... - correct
answer Provide some assurance that the financial statements are not misleading
, WGU C213 Topics 1-6 Quizzes (Latest
Update ) Questions & Answers
100% Correct - (Grade A)
The accuracy of the information contained in the financial statements is the
responsibility of the? - correct answer Management
Which of the following are the two economic factors that enable us to trust an
independent auditor despite the fact that the auditor was hired by the company
being audited? - correct answer Reputation of auditor and risk of lawsuits
The idea that certain figures on an operating statement help to explain changes in
figures on comparative balance sheets is referred to as... - correct answer Articulation
The idea that information becomes more useful when it can be related to a
benchmark or a standard is referred to as... - correct answer Comparability
The notion that when doubt exists concerning two or more reporting alternatives,
users should select the alternative with the least favorable impact on reported
income, assets, and liabilities is referred to as... - correct answer Conservatism
Whether an item is big enough that proper accounting will make a difference to users
of accounting information is referred to as... - correct answer Materiality
The notion that information will be more useful if it will impact a decision is referred
to as... - correct answer Relevance
