WGU C213 - ACCOUNTING TOPIC 1 QUESTIONS AND ANSWERS
Accounting
CORRECT ANSWER A system of providing "quantitative information, primarily
financial in nature, about economic entities that is intended to be useful in making
economic decisions."
American Institute of Certified Public Accountants (AICPA)
CORRECT ANSWER The professional organization of certified public accountants in
the United States
Balance Sheet
CORRECT ANSWER Document which reports the resources of a company (the assets),
the company's obligations (the liabilities), and the owners' equity, which represents how
much money has been invested in the company by its owners
Bookkeeping
CORRECT ANSWER The preservation of a systematic, quantitative record of an
activity
Certified Public Accountant
CORRECT ANSWER A person who has taken a minimum number of college-level
accounting classes, has passed the dreaded CPA exam, and has met other requirements
set by his or her state
Financial Accounting
CORRECT ANSWER The name given to accounting information provided for and used
by external users
Financial Accounting Standards Board (FASB)
CORRECT ANSWER Governmental body that sets accounting standards in the United
States.
Financial Statements
CORRECT ANSWER The three primary financial information documents: the balance
sheet, income statement, and statement of cash flows
Accounting
CORRECT ANSWER A system of providing "quantitative information, primarily
financial in nature, about economic entities that is intended to be useful in making
economic decisions."
American Institute of Certified Public Accountants (AICPA)
CORRECT ANSWER The professional organization of certified public accountants in
the United States
Balance Sheet
CORRECT ANSWER Document which reports the resources of a company (the assets),
the company's obligations (the liabilities), and the owners' equity, which represents how
much money has been invested in the company by its owners
Bookkeeping
CORRECT ANSWER The preservation of a systematic, quantitative record of an
activity
Certified Public Accountant
CORRECT ANSWER A person who has taken a minimum number of college-level
accounting classes, has passed the dreaded CPA exam, and has met other requirements
set by his or her state
Financial Accounting
CORRECT ANSWER The name given to accounting information provided for and used
by external users
Financial Accounting Standards Board (FASB)
CORRECT ANSWER Governmental body that sets accounting standards in the United
States.
Financial Statements
CORRECT ANSWER The three primary financial information documents: the balance
sheet, income statement, and statement of cash flows
