WGU D196 PA STUDY SET WITH
CORRECT ANSWERS LATEST UPDATE
(GRADED A+)
WESTERN GOVERNORS
WGU 196
, WGU D196
Accounting plays a vital role in the decision-making process. Which action is the
first step in the decision-making process.
Identify the issues
The money that a company needs to buy its land, pay its employees, and buy its
supplies is called capital. What are the potential sources of capital for a business.
Investors, creditors, and retained business earnings.
Accountants measure and communicate the results of business activities.
True
Which primary area of accounting generates reports for internal users.
Management accounting
Which group use financial information to evaluate whether a company will be able
to repay a loan.
Lenders
Which of the primary financial statements reports the resources, obligations, and
owner's equity of a company
Balance sheet
What is the role of the IASB regulating accounting standards
Establish international accounting standards
What group of people make up the FASB
People from a variety of business-related backgrounds
What is the role of the GASB in setting accounting standards
The GSAB is a private-sector organization the establishes accounting and financial
reporting standards for the U.S. state and local governments
In what way do accountants have an economic incentive to conduct themselves
ethically
The value of the information produced by accountants is related to the confidence
that users have in the reliability of that information
, How is it possible for an accountant to intentionally deceive financial statement
users and still technically be in compliance with generally accepted accounting
principles (GAAP)
There is flexibility inherent in the assumptions underlying the preparation of
financial statements
Your boss has approached you with a concerning letter from the IRS and ask you to
explain the role of the IRS in regulating accounting standards. Based on the role of
the IRS, what would be the problem detailed in the letter
The company has not filed its taxes in accordance to the law
Anika is considering investing in a tech company that is known for developing
smart home appliances. Before investing, Annika first wants to ensure that the
companies past performance has been satisfactory and that the company manages
its cash flows well. What type of accounting information would provide this
evidence for Anika
Financial reports
Alliah company just released it's public accounting data for 2019. Which user of
accounting information will monitor this data to ensure that the company is
providing sufficient information for investors.
Government agencies
A new product line manager approaches the accounting department in order to
understand the past performance of the product line he has been asked to manage
in the future. Which role of accounting involves obtaining and using financial
information to determine the financial health and performance of a business or
product line?
Evaluation
You read in the newspaper that a local company you are familiar with has been
found guilty in court of publishing financial statements that are false and
misleading to users of those financial statements. In this situation, what could the
American Institute of Certified Public Accountants (AICPA) do in response to the
accountants who were found guilty of unethical conduct in accounting practices?
Implement professional sanctions
What is the correct summary sequence in the accounting cycle?
Analyze, Record, Summarize, Prepare
Business documents, such as a sales invoice, a purchase order, or a check stub, are
an important part of the accounting process. From an accounting cycle standpoint,
what is purpose of business documents?
CORRECT ANSWERS LATEST UPDATE
(GRADED A+)
WESTERN GOVERNORS
WGU 196
, WGU D196
Accounting plays a vital role in the decision-making process. Which action is the
first step in the decision-making process.
Identify the issues
The money that a company needs to buy its land, pay its employees, and buy its
supplies is called capital. What are the potential sources of capital for a business.
Investors, creditors, and retained business earnings.
Accountants measure and communicate the results of business activities.
True
Which primary area of accounting generates reports for internal users.
Management accounting
Which group use financial information to evaluate whether a company will be able
to repay a loan.
Lenders
Which of the primary financial statements reports the resources, obligations, and
owner's equity of a company
Balance sheet
What is the role of the IASB regulating accounting standards
Establish international accounting standards
What group of people make up the FASB
People from a variety of business-related backgrounds
What is the role of the GASB in setting accounting standards
The GSAB is a private-sector organization the establishes accounting and financial
reporting standards for the U.S. state and local governments
In what way do accountants have an economic incentive to conduct themselves
ethically
The value of the information produced by accountants is related to the confidence
that users have in the reliability of that information
, How is it possible for an accountant to intentionally deceive financial statement
users and still technically be in compliance with generally accepted accounting
principles (GAAP)
There is flexibility inherent in the assumptions underlying the preparation of
financial statements
Your boss has approached you with a concerning letter from the IRS and ask you to
explain the role of the IRS in regulating accounting standards. Based on the role of
the IRS, what would be the problem detailed in the letter
The company has not filed its taxes in accordance to the law
Anika is considering investing in a tech company that is known for developing
smart home appliances. Before investing, Annika first wants to ensure that the
companies past performance has been satisfactory and that the company manages
its cash flows well. What type of accounting information would provide this
evidence for Anika
Financial reports
Alliah company just released it's public accounting data for 2019. Which user of
accounting information will monitor this data to ensure that the company is
providing sufficient information for investors.
Government agencies
A new product line manager approaches the accounting department in order to
understand the past performance of the product line he has been asked to manage
in the future. Which role of accounting involves obtaining and using financial
information to determine the financial health and performance of a business or
product line?
Evaluation
You read in the newspaper that a local company you are familiar with has been
found guilty in court of publishing financial statements that are false and
misleading to users of those financial statements. In this situation, what could the
American Institute of Certified Public Accountants (AICPA) do in response to the
accountants who were found guilty of unethical conduct in accounting practices?
Implement professional sanctions
What is the correct summary sequence in the accounting cycle?
Analyze, Record, Summarize, Prepare
Business documents, such as a sales invoice, a purchase order, or a check stub, are
an important part of the accounting process. From an accounting cycle standpoint,
what is purpose of business documents?
