WGU C213 - ACCOUNTING FOR
DECISION MAKERS | 504
QUESTIONS | WITH COMPLETE
SOLUTIONS| GRADED A+
,1. prepare 2. analyze 3. gather 4. make decisions 5. implement 6. observe. –
Answer - accounting steps.
inside, internal –
Answer - managerial info is inside or outside the business?
true. financial accounting is only outside. managerial accounting can be inside and
outside. –
Answer - true or false, managerial accounting uses both managerial and financial
accounting?
outside, external, includes lenders and investors –
Answer - financial is inside or outside the business?
balance sheet, income statement, and statement of cash flows –
Answer - the financial statement includes what 3 documents
balance sheet –
Answer - point in time, assets (resources) and liabilities (obligations)
income statement –
Answer - period of time (usually 1 year), amount of profit made
statement of cash flows –
Answer - period of time, where money came from, and where it went. inflow and
outflow of cash (cash flows). change in money for the period.
,balance sheet equation –
Answer - assets= liabilities + equity
revenue equation –
Answer - net income=revenue - expenses
, operating, investing, and financial activities –
Answer - the statement of cash flows includes what three activities
fasb: financial accounting standards. private, no government involvement. it is a
public process, includes individuals experienced in business and accounting (7
members). –
Answer - the decision makers in the u.s. (accounting rules)
gaap: general accepted accounting principles –
Answer - developed by accounting rule makers. no legal authority.
comparability –
Answer - we need accounting rules for...
sec: security and exchange commission. located in article 1, sec 8, clause 3 -
Answer - u.s. gov agency responsible for ensuring that investors, creditors, and
other financial statement users are provided with reliable information. it watches
behavior in financial markets.
registration statements (prospectus), form 10-k, form 10-q, and schedule 14a
(proxy statement). these are all publicly viewable. –
Answer - what forms do the sec regulate?
oversees stock exchanges, can suspend a company, investigate and suspect
violations of the sec rules. –
Answer - what does the sec do?
yes. the sec has legal authority to establish accounting rules and disclosure
requirements. –
Answer - does the sec have legal authority?
usa congress->sec->fasb –
Answer - financial accounting rule per the us constitution
fasb: financial accounting standards board –
Answer - the sec created the
gaap (has no legal authority) –
Answer - fasb created
aipca: american institute of certified public accountants. –
Answer - what sets auditory standards, continue education credits, cpa exam, and
is the code of professional conduct?
DECISION MAKERS | 504
QUESTIONS | WITH COMPLETE
SOLUTIONS| GRADED A+
,1. prepare 2. analyze 3. gather 4. make decisions 5. implement 6. observe. –
Answer - accounting steps.
inside, internal –
Answer - managerial info is inside or outside the business?
true. financial accounting is only outside. managerial accounting can be inside and
outside. –
Answer - true or false, managerial accounting uses both managerial and financial
accounting?
outside, external, includes lenders and investors –
Answer - financial is inside or outside the business?
balance sheet, income statement, and statement of cash flows –
Answer - the financial statement includes what 3 documents
balance sheet –
Answer - point in time, assets (resources) and liabilities (obligations)
income statement –
Answer - period of time (usually 1 year), amount of profit made
statement of cash flows –
Answer - period of time, where money came from, and where it went. inflow and
outflow of cash (cash flows). change in money for the period.
,balance sheet equation –
Answer - assets= liabilities + equity
revenue equation –
Answer - net income=revenue - expenses
, operating, investing, and financial activities –
Answer - the statement of cash flows includes what three activities
fasb: financial accounting standards. private, no government involvement. it is a
public process, includes individuals experienced in business and accounting (7
members). –
Answer - the decision makers in the u.s. (accounting rules)
gaap: general accepted accounting principles –
Answer - developed by accounting rule makers. no legal authority.
comparability –
Answer - we need accounting rules for...
sec: security and exchange commission. located in article 1, sec 8, clause 3 -
Answer - u.s. gov agency responsible for ensuring that investors, creditors, and
other financial statement users are provided with reliable information. it watches
behavior in financial markets.
registration statements (prospectus), form 10-k, form 10-q, and schedule 14a
(proxy statement). these are all publicly viewable. –
Answer - what forms do the sec regulate?
oversees stock exchanges, can suspend a company, investigate and suspect
violations of the sec rules. –
Answer - what does the sec do?
yes. the sec has legal authority to establish accounting rules and disclosure
requirements. –
Answer - does the sec have legal authority?
usa congress->sec->fasb –
Answer - financial accounting rule per the us constitution
fasb: financial accounting standards board –
Answer - the sec created the
gaap (has no legal authority) –
Answer - fasb created
aipca: american institute of certified public accountants. –
Answer - what sets auditory standards, continue education credits, cpa exam, and
is the code of professional conduct?
