WGU C213 ACCOUNTING FOR DECISION MAKERS FINAL EXAM STUDY GUIDE Questions with Verified Answers (2025 / 2026) Grade A+ Guarantee

WGU C213 ACCOUNTING FOR DECISION MAKERS FINAL EXAM STUDY GUIDE

Questions with Verified Answers
Grade A+ Guarantee


1. Which of the following is NOT true of the Financial Accounting Standards B
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oard (FASB)?: It is a government agency
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THEY DO: g




It consists of seven full-time members
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It seeks consistency for its proposed standards
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It has no legal power to enforce the standards it sets
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2. Generally accepted accounting principles are: Developed by accounting rule makers
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3. The initials GAAP stand for: Generally Accepted Accounting Principles
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4. The current standard-setting board for accounting in the private sector is the:
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Financial Accounting Standards Board (FASB)
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5. The emphasis in financial accounting is on which of the following external user gr
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oups?: Investors and creditors
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6. The primary internal group that uses accounting information is: Manage- ment
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7. Internal reports are generally used by: Management
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8. Which of the following is NOT an external user of financial information?: -
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,Management
9. Standards established by the International Accounting Standards Board are referred to
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as: International Financial Reporting Standards
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10. Which of the following is the government agency that stipulates the rules and regul
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ations that govern the collection of taxes in the United States?: In- ternal Revenue Service
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11. Which of the following is NOT a service typically provided by large public ac
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counting firms?: Making management decisions
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They DO: Performing au
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dits
Establishing accounting systems Redesi
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gning operating procedures
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12. The initials CPA stand for: Certified Public Accountant
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13. Which of the following organizations has specific legal authority to es-
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tablish accounting standards for publicly held companies?: Securities and Exchange
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Commission (SEC) g




14. Which of the following is NOT a reason for the integration of worldwide ac
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counting standards?: the increased efficiency of financial markets
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NOT




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,the integration of the global economy
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the theoretical necessity of a common set of accounting standards the need to evaluat
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e investments across the world
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15. The International Accounting Standards Board (IASB) is charged with d
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eveloping worldwide accounting practices?: True g g g g




16. With the current state of information technology, investors outside a com-
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pany are now allowed access to a company's internal database of financial information
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and do their own customized analysis of a firm's performance.: - False
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17. Increased federal oversight of the audit process resulted from the passage of the fo
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llowing act of Congress: Sarbanes-Oxley Act
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18. A borrower benefits from providing financial information regarding income and e
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xpenses in the form of a lower interest rate on the loan because of reduced uncertain
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ty for the lender with regard to repayment.: True
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19. Which of the following is NOT one of the three primary financial state-
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g ments?: The Statement of Retained Earnings
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THEY ARE: g




The Balance Sheet
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The Statement of Cash Flows The Incom
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e Statement
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20. One reason for a company's preparing and providing financial statements is to red
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uce uncertainty for an investor regarding the firm's future financial performance.: True
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21. Which of the following types of accounts are NOT found on the balance sheet?:
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Revenues



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, THEY ARE g




Assets Liabilities Owners
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' equity
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22. Another name for the balance sheet is the: Statement of financial position
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23. Which of the following distinguishes between current and long-term as- sets?:
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Classified balance sheet g g




24. The basic accounting equation is: Assets = Liabilities + Owners' Equity
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25. The idea that businesses must be accounted for as though they will exist at least for
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g the foreseeable future is the: Going concern concept
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26. Expenses generally cause: A decrease in net assets
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