WGU D196 pre assessment| Ques ons and answers |
Updated RATED A+| NEW 2026
What is an example of direct materials?
Cost of robo c equipment in making automobiles
Cost of sandpaper in making wood furniture
Cost of saws and hammers in construc ng a house
Cost of aluminum in making an airplane
Cost of aluminum in making an airplane
What is the effect of a company's accoun ng department maintaining high ethical standards?
The company can hire fewer accountants to do the same amount of work.
The company can report more favorable results in its financial statements.
The company's accoun ng informa on will increase in value.
The company's accoun ng informa on will decrease in value.
The company's accoun ng informa on will increase in value.
Why might employees be interested in their company's financial accoun ng informa on?
Financial statement data are used to record long term liabili es.
Financial statement data are o$en used in determining employee bonuses.
Financial statement data provide item-by-item product cost informa on.
Financial statement data provide detailed internal budget informa on.
Financial statement data are o$en used in determining employee bonuses.
Which group establishes financial accoun ng rules in the United States?
Internal Revenue Service (IRS)
Financial Accoun ng Standards Board (FASB)
Interna onal Accoun ng Standards Board (IASB)
American Ins tute of Cer fied Public Accountants (AICPA)
Financial Accoun ng Standards Board (FASB)
Which report is one of the three primary financial statements?
Statement of management accoun ng
Statement of the accoun ng cycle
Statement of stakeholder funds
Statement of cash flows
, Statement of cash flows
A company paid $5,000 cash in adver sing costs.
How does this transac on affect the paying company's accoun ng equa on?
Assets decrease by $5,000; liabili es increase by $5,000.
Assets increase by $5,000; expenses increase by $5,000.
Assets decrease by $5,000; expenses increase by $5,000.
Assets decrease by $5,000; revenues increase by $5,000.
Assets decrease by $5,000; expenses increase by $5,000.
What is a transac on?
Two par es exchanging something of value
A type of commonly used accoun ng so$ware
A category of merchandiser or retailer
An example of an online business document
Two par es exchanging something of value
A company borrowed $80,000 cash from a bank.
How does this transac on affect the accoun ng equa on of the borrowing company?
Assets increase by $80,000; liabili es increase by $80,000.
Assets increase by $80,000; owners' equity increases by $80,000.
Assets increase by $80,000; liabili es decrease by $80,000.
Assets increase by $80,000; revenues increase by $80,000.
Assets increase by $80,000; liabili es increase by $80,000.
What is the impact of expenses on the accoun ng equa on?
Expenses decrease liabili es.
Expenses increase liabili es.
Expenses decrease owners' equity.
Expenses increase owners' equity.
Expenses decrease owners' equity.
Which type of account are accounts payable and notes payable both examples of?
Liability
Expense
Asset
Equity
Updated RATED A+| NEW 2026
What is an example of direct materials?
Cost of robo c equipment in making automobiles
Cost of sandpaper in making wood furniture
Cost of saws and hammers in construc ng a house
Cost of aluminum in making an airplane
Cost of aluminum in making an airplane
What is the effect of a company's accoun ng department maintaining high ethical standards?
The company can hire fewer accountants to do the same amount of work.
The company can report more favorable results in its financial statements.
The company's accoun ng informa on will increase in value.
The company's accoun ng informa on will decrease in value.
The company's accoun ng informa on will increase in value.
Why might employees be interested in their company's financial accoun ng informa on?
Financial statement data are used to record long term liabili es.
Financial statement data are o$en used in determining employee bonuses.
Financial statement data provide item-by-item product cost informa on.
Financial statement data provide detailed internal budget informa on.
Financial statement data are o$en used in determining employee bonuses.
Which group establishes financial accoun ng rules in the United States?
Internal Revenue Service (IRS)
Financial Accoun ng Standards Board (FASB)
Interna onal Accoun ng Standards Board (IASB)
American Ins tute of Cer fied Public Accountants (AICPA)
Financial Accoun ng Standards Board (FASB)
Which report is one of the three primary financial statements?
Statement of management accoun ng
Statement of the accoun ng cycle
Statement of stakeholder funds
Statement of cash flows
, Statement of cash flows
A company paid $5,000 cash in adver sing costs.
How does this transac on affect the paying company's accoun ng equa on?
Assets decrease by $5,000; liabili es increase by $5,000.
Assets increase by $5,000; expenses increase by $5,000.
Assets decrease by $5,000; expenses increase by $5,000.
Assets decrease by $5,000; revenues increase by $5,000.
Assets decrease by $5,000; expenses increase by $5,000.
What is a transac on?
Two par es exchanging something of value
A type of commonly used accoun ng so$ware
A category of merchandiser or retailer
An example of an online business document
Two par es exchanging something of value
A company borrowed $80,000 cash from a bank.
How does this transac on affect the accoun ng equa on of the borrowing company?
Assets increase by $80,000; liabili es increase by $80,000.
Assets increase by $80,000; owners' equity increases by $80,000.
Assets increase by $80,000; liabili es decrease by $80,000.
Assets increase by $80,000; revenues increase by $80,000.
Assets increase by $80,000; liabili es increase by $80,000.
What is the impact of expenses on the accoun ng equa on?
Expenses decrease liabili es.
Expenses increase liabili es.
Expenses decrease owners' equity.
Expenses increase owners' equity.
Expenses decrease owners' equity.
Which type of account are accounts payable and notes payable both examples of?
Liability
Expense
Asset
Equity
