WGUl C213l Pre-l Assessmentl V2–l
Accountingl forl Decisionl Makerl (Latestl
2026/l 2027l Update)l |l 100%l Verifiedl
Questionsl &l Answersl |l Gradel A
Q:l Whichl twol cashl flowl adequacyl ratiosl representl al cashl cow?l Choosel 2l answers
A.l $4,510l /l $4,932
B.l $6,991l /l $5,486
C.l $8,091l /l $9,374
D.l $5,220l /l $1,875
E.l $7,589l /l $9,210
Answer:
B.l $6,991l /l $5,486
D.l $5,220l /l $1,875
Q:l Whichl formulal yieldsl al cashl timesl interestl earnedl ratiol ofl 11?
1.l Cashl beforel interestl andl taxesl ofl $11,000l /l cashl paidl forl incomel taxesl ofl $1,000
2.l Cashl beforel interestl andl taxesl ofl $11,000l /l cashl paidl forl interestl ofl $1,000
3.l Cashl beforel interestl andl taxesl ofl $11,000l /l cashl froml operationsl ofl $1,000C
4.l ashl beforel interestl andl taxesl ofl $11,000l /l cashl paidl forl acquisitionsl ofl $1,000
Answer:
2.l Cashl beforel interestl andl taxesl ofl $11,000l /l cashl paidl forl interestl ofl $1,000
Q:l Whichl twol valuesl affectl thel measurementl ofl netl income?l Choosel 2l answers
1.l Dividendsl paid
2.l Stockholderl contributions
3.l Operatingl expenses
4.l Ordinaryl gainsl andl losses
,Answer:
3.l Operatingl expenses
4.l Ordinaryl gainsl andl losses
Q:l Whichl twol items'l subtotalsl arel includedl inl al multi-stepl incomel statement?l Choosel
2l answers
1.l Grossl profit
2.l Totall assets
3.l Currentl liabilities
4.l Incomel froml operations
Answer:
1.l Grossl profit
4.l Incomel froml operations
Q:l Al furniturel companyl usingl accruall accountingl purchasedl 20l sofasl inl Novemberl
2011.l Inl Decemberl 2011,l 8l ofl thel 20l sofasl werel soldl tol customers.l Thel customersl alll
signedl contractsl agreeingl tol payl halfl thel amountl owedl inl Februaryl 2012l andl thel
remainingl halfl inl Marchl 2012.l Atl thel timel ofl sale,l thel companyl wasl reasonablyl surel
thel customersl wouldl payl thel amountl owed.
Thel furniturel companyl paysl itsl salespeoplel al commissionl onl eachl sofal sold,l withl
commissionsl forl Decemberl 2011l salesl paidl inl Januaryl 2012.
Thel furniturel companyl paidl $3,000l forl advertisingl thatl ranl inl thel locall newspaperl inl
Novemberl 2011.
Inl whichl monthl shouldl advertisingl costsl bel expensed?
A.l Februaryl 2012
B.l Januaryl 2012
C.l Decemberl 2011
D.l Novemberl 2011
Answer:
D.l Novemberl 2011
, Q:l Onl Mayl 1,l 2011,l al companyl usingl accruall accountingl purchasedl equipmentl
costingl $500,000.l Itl expectsl thel equipmentl tol havel al usefull lifel ofl fivel years.l Atl thel
timel ofl purchase,l thel companyl alsol purchasedl al one-yearl insurancel policyl onl thisl
equipment,l whichl costl $6,000.
Howl muchl insurancel expensel shouldl thel companyl havel recognizedl forl thel yearl endingl
inl 2011?
A.l $3,000
B.l $4,000
C.l $6,000
D.l $8,000
Answer:
B.l $4,000
Q:l Inl Januaryl ofl yearl 1,l al companyl beganl doingl businessl asl al corporationl inl orderl
tol selll technology-relatedl accessoriesl andl services.l Duringl itsl firstl monthl ofl operations,l
itl focusedl onl obtainingl thel financingl neededl tol startl itsl operations.l Inl Februaryl ofl yearl
1,l thel companyl soldl inventoryl costingl $25,000l forl $75,000l cash.
Inl Februaryl ofl yearl 1,l thel companyl providedl technology-relatedl servicesl worthl $10,000.l
Customersl paidl al totall ofl $4,000l inl cashl forl thesel servicesl andl promisedl tol payl thel
remainderl thel followingl month.
Whatl willl bel thel totall impactl ofl thesel servicesl providedl onl thel company'sl balancel
sheetl otherl thanl anl increasel inl cashl ofl $4,000?l Choosel 2l answers
1.l Accountsl receivablel willl increasel $6,000.
2.l Retainedl earningsl willl increasel $10,000.
3.l Retainedl earningsl willl decreasel $2,000.
4.l Retainedl earningsl willl increasel $6,000.
5.l Accountsl receivablel willl decreasel $6,000.
Answer:
1.l Accountsl receivablel willl increasel $6,000.
2.l Retainedl earningsl willl increasel $10,000.
Q:l Whatl wasl thel 2012l netl profitl amountl ifl thel 2013l pro-formal netl profitl ofl
$187,000l wasl basedl onl al 22%l increase?
Accountingl forl Decisionl Makerl (Latestl
2026/l 2027l Update)l |l 100%l Verifiedl
Questionsl &l Answersl |l Gradel A
Q:l Whichl twol cashl flowl adequacyl ratiosl representl al cashl cow?l Choosel 2l answers
A.l $4,510l /l $4,932
B.l $6,991l /l $5,486
C.l $8,091l /l $9,374
D.l $5,220l /l $1,875
E.l $7,589l /l $9,210
Answer:
B.l $6,991l /l $5,486
D.l $5,220l /l $1,875
Q:l Whichl formulal yieldsl al cashl timesl interestl earnedl ratiol ofl 11?
1.l Cashl beforel interestl andl taxesl ofl $11,000l /l cashl paidl forl incomel taxesl ofl $1,000
2.l Cashl beforel interestl andl taxesl ofl $11,000l /l cashl paidl forl interestl ofl $1,000
3.l Cashl beforel interestl andl taxesl ofl $11,000l /l cashl froml operationsl ofl $1,000C
4.l ashl beforel interestl andl taxesl ofl $11,000l /l cashl paidl forl acquisitionsl ofl $1,000
Answer:
2.l Cashl beforel interestl andl taxesl ofl $11,000l /l cashl paidl forl interestl ofl $1,000
Q:l Whichl twol valuesl affectl thel measurementl ofl netl income?l Choosel 2l answers
1.l Dividendsl paid
2.l Stockholderl contributions
3.l Operatingl expenses
4.l Ordinaryl gainsl andl losses
,Answer:
3.l Operatingl expenses
4.l Ordinaryl gainsl andl losses
Q:l Whichl twol items'l subtotalsl arel includedl inl al multi-stepl incomel statement?l Choosel
2l answers
1.l Grossl profit
2.l Totall assets
3.l Currentl liabilities
4.l Incomel froml operations
Answer:
1.l Grossl profit
4.l Incomel froml operations
Q:l Al furniturel companyl usingl accruall accountingl purchasedl 20l sofasl inl Novemberl
2011.l Inl Decemberl 2011,l 8l ofl thel 20l sofasl werel soldl tol customers.l Thel customersl alll
signedl contractsl agreeingl tol payl halfl thel amountl owedl inl Februaryl 2012l andl thel
remainingl halfl inl Marchl 2012.l Atl thel timel ofl sale,l thel companyl wasl reasonablyl surel
thel customersl wouldl payl thel amountl owed.
Thel furniturel companyl paysl itsl salespeoplel al commissionl onl eachl sofal sold,l withl
commissionsl forl Decemberl 2011l salesl paidl inl Januaryl 2012.
Thel furniturel companyl paidl $3,000l forl advertisingl thatl ranl inl thel locall newspaperl inl
Novemberl 2011.
Inl whichl monthl shouldl advertisingl costsl bel expensed?
A.l Februaryl 2012
B.l Januaryl 2012
C.l Decemberl 2011
D.l Novemberl 2011
Answer:
D.l Novemberl 2011
, Q:l Onl Mayl 1,l 2011,l al companyl usingl accruall accountingl purchasedl equipmentl
costingl $500,000.l Itl expectsl thel equipmentl tol havel al usefull lifel ofl fivel years.l Atl thel
timel ofl purchase,l thel companyl alsol purchasedl al one-yearl insurancel policyl onl thisl
equipment,l whichl costl $6,000.
Howl muchl insurancel expensel shouldl thel companyl havel recognizedl forl thel yearl endingl
inl 2011?
A.l $3,000
B.l $4,000
C.l $6,000
D.l $8,000
Answer:
B.l $4,000
Q:l Inl Januaryl ofl yearl 1,l al companyl beganl doingl businessl asl al corporationl inl orderl
tol selll technology-relatedl accessoriesl andl services.l Duringl itsl firstl monthl ofl operations,l
itl focusedl onl obtainingl thel financingl neededl tol startl itsl operations.l Inl Februaryl ofl yearl
1,l thel companyl soldl inventoryl costingl $25,000l forl $75,000l cash.
Inl Februaryl ofl yearl 1,l thel companyl providedl technology-relatedl servicesl worthl $10,000.l
Customersl paidl al totall ofl $4,000l inl cashl forl thesel servicesl andl promisedl tol payl thel
remainderl thel followingl month.
Whatl willl bel thel totall impactl ofl thesel servicesl providedl onl thel company'sl balancel
sheetl otherl thanl anl increasel inl cashl ofl $4,000?l Choosel 2l answers
1.l Accountsl receivablel willl increasel $6,000.
2.l Retainedl earningsl willl increasel $10,000.
3.l Retainedl earningsl willl decreasel $2,000.
4.l Retainedl earningsl willl increasel $6,000.
5.l Accountsl receivablel willl decreasel $6,000.
Answer:
1.l Accountsl receivablel willl increasel $6,000.
2.l Retainedl earningsl willl increasel $10,000.
Q:l Whatl wasl thel 2012l netl profitl amountl ifl thel 2013l pro-formal netl profitl ofl
$187,000l wasl basedl onl al 22%l increase?
