WGU D774 - PA with
correct questions and
answers
usr
[COMPANY NAME] [Company address]
, 1. Which ancient civilization dates to the early development of
accounting? Answer: An- cient Mesopotamia (c. 3000 BCE)
2. Which year is associated with the stock market crash that had a
profound economic impact? Answer: 1929
3. What was the regulatory outcome of accounting scandals such
as Enron, WorldCom, and Tyco? Answer: The Sarbanes-Oxley Act was introduced,
requiring stricter financial controls and oversight.
4. A business owner is trying to better understand their company's
financial performance and operations. The owner recently learned
that two types of accounting—financial accounting and managerial
accounting—serve different purposes. What is one difference between
them? Answer: Financial accounting focuses on external reporting, while managerial
accounting focuses on internal decision-making.
5. Which statement describes the focus of managerial accounting?
Answer: Improving future results based on an analysis of past performance
6. A company is preparing annual financial statements to share with
investors. Which characteristic of financial accounting reports applies
in this situation? Answer: - They include monetary and nonmonetary information.
7. A publicly traded company is preparing to issue stock to its
investors. As part of the process, the company must submit financial
disclosures and filings to the regulatory agency overseeing
securities markets. Which federal agency is responsible for this
regulation? Answer: Securities and Exchange Commission (SEC)
8. Which organization is an independent, nonprofit entity responsible
for set- ting financial accounting and reporting standards for public
and private sector businesses in the United States that use generally
accepted accounting princi- ples (GAAP)? Answer: Financial Accounting Standards
Board (FASB)
9. What is the purpose of the Public Company Accounting
Oversight Board (PCAOB)? Answer: It oversees the audits of public companies to protect
investors.
10. A multinational corporation wants to hire an audit firm with
2/
14
correct questions and
answers
usr
[COMPANY NAME] [Company address]
, 1. Which ancient civilization dates to the early development of
accounting? Answer: An- cient Mesopotamia (c. 3000 BCE)
2. Which year is associated with the stock market crash that had a
profound economic impact? Answer: 1929
3. What was the regulatory outcome of accounting scandals such
as Enron, WorldCom, and Tyco? Answer: The Sarbanes-Oxley Act was introduced,
requiring stricter financial controls and oversight.
4. A business owner is trying to better understand their company's
financial performance and operations. The owner recently learned
that two types of accounting—financial accounting and managerial
accounting—serve different purposes. What is one difference between
them? Answer: Financial accounting focuses on external reporting, while managerial
accounting focuses on internal decision-making.
5. Which statement describes the focus of managerial accounting?
Answer: Improving future results based on an analysis of past performance
6. A company is preparing annual financial statements to share with
investors. Which characteristic of financial accounting reports applies
in this situation? Answer: - They include monetary and nonmonetary information.
7. A publicly traded company is preparing to issue stock to its
investors. As part of the process, the company must submit financial
disclosures and filings to the regulatory agency overseeing
securities markets. Which federal agency is responsible for this
regulation? Answer: Securities and Exchange Commission (SEC)
8. Which organization is an independent, nonprofit entity responsible
for set- ting financial accounting and reporting standards for public
and private sector businesses in the United States that use generally
accepted accounting princi- ples (GAAP)? Answer: Financial Accounting Standards
Board (FASB)
9. What is the purpose of the Public Company Accounting
Oversight Board (PCAOB)? Answer: It oversees the audits of public companies to protect
investors.
10. A multinational corporation wants to hire an audit firm with
2/
14
