WGU C213 Accounting for Decision Makers Exam Questions with
Correct Answers 100% and Answers with Verified Solutions | Latest
2026 Update
Q: accounting statements provide?
Answer:
1. Summary of accounting policy 2. Additional info about summary totals 3.
Disclosure of info not included in summary 4. Supplemental disclosure required by
FASB or SEC What are the 4 general types of accounting notes? Conservatism the
practice of recognizing all losses but not recognizing gains until they are certain
Materiality the concept that weighs whether a certain dollar amount is large enough
to make a difference to anyone Articulation the idea that the three primary financial
statements are interrelated Debt Ratio Total Liabilities/
, Q: Total Assets Percentage of funds needed to purchase assets that were obtained
through
Answer:
borrowing
Current Ratio
Current Assets/
Current Liabilities Measure of liquidity; number of times current assets could cover
current
liabilities
Return on Sales Ratio
Net Income/
Sales Number of pennies earned during the year on each dollar of sales
Asset Turnover
Sales/
Total Assets Number of dollars of sales during the year generated by each dollar of
assets
Return on Equity
Net Income/
Stockholder's Equity Number of pennies earned during the year on each dollar
invested
Price-earnings Ratio
Market Value of Shares/
Correct Answers 100% and Answers with Verified Solutions | Latest
2026 Update
Q: accounting statements provide?
Answer:
1. Summary of accounting policy 2. Additional info about summary totals 3.
Disclosure of info not included in summary 4. Supplemental disclosure required by
FASB or SEC What are the 4 general types of accounting notes? Conservatism the
practice of recognizing all losses but not recognizing gains until they are certain
Materiality the concept that weighs whether a certain dollar amount is large enough
to make a difference to anyone Articulation the idea that the three primary financial
statements are interrelated Debt Ratio Total Liabilities/
, Q: Total Assets Percentage of funds needed to purchase assets that were obtained
through
Answer:
borrowing
Current Ratio
Current Assets/
Current Liabilities Measure of liquidity; number of times current assets could cover
current
liabilities
Return on Sales Ratio
Net Income/
Sales Number of pennies earned during the year on each dollar of sales
Asset Turnover
Sales/
Total Assets Number of dollars of sales during the year generated by each dollar of
assets
Return on Equity
Net Income/
Stockholder's Equity Number of pennies earned during the year on each dollar
invested
Price-earnings Ratio
Market Value of Shares/
