WGU D774 Introduction to Business Accounting
Latest Questions and Answers | Professional
Prep | Grade A+
• What do internal auditors do? -✓✓Enhance financial integrity by evaluating
internal controls and proactively identifying weaknesses
• What was an effect of the Sarbanes-Oxley Act? -✓✓Strengthened auditor
independence and corporate accountability.
• Purpose of the Sarbanes-Oxley Act? -✓✓Improve financial transparency and
reduce corporate fraud.
• Simple difference between financial and managerial accounting? -✓✓Financial
accounting focuses on external reporting while managerial accounting focuses on
internal decision-making.
• Does managerial accounting need to comply with GAAP? -✓✓No
• Celebrities that have an accounting degree -✓✓Janet Jackson, John Grisham,
Simu Liu, & D'Lo Brown
• Which organization is responsible for creating and issuing the financial
accounting standards that form the foundation of generally accepted accounting
principles (GAAP) in the United States? -✓✓(FASB) Financial Accounting
Standards Board
, • How often are external financial accounting reports typically published for
stakeholders, such as investors and regulators? -✓✓Quarterly or Annually
• Which regulation requires the certification and documentation of internal
controls, including an auditor's issuance of an internal report after evaluating those
controls? -✓✓Sarbanes-Oxley Act
• Who was the father of accounting? -✓✓Luca Pacioli
• Formula for Net Income -✓✓Revenue - Expenses
• Accrual Accounting is a method that... -✓✓Records revenues when earned and
expenses when incurred, regardless of when cash changes hands
• Cash basis accounting is a method that... -✓✓Records revenues WHEN cash is
received and expenses WHEN cash is paid, ignoring WHEN the money was earned
or the service was provided
• Purpose of the income statement? -✓✓Report a company's revenues and
expenses over a period of time
• 5 core components of an income statement -✓✓Revenue, expenses, gains, losses,
and net income.
• Income statement is also called? -✓✓Profit & loss statement
Latest Questions and Answers | Professional
Prep | Grade A+
• What do internal auditors do? -✓✓Enhance financial integrity by evaluating
internal controls and proactively identifying weaknesses
• What was an effect of the Sarbanes-Oxley Act? -✓✓Strengthened auditor
independence and corporate accountability.
• Purpose of the Sarbanes-Oxley Act? -✓✓Improve financial transparency and
reduce corporate fraud.
• Simple difference between financial and managerial accounting? -✓✓Financial
accounting focuses on external reporting while managerial accounting focuses on
internal decision-making.
• Does managerial accounting need to comply with GAAP? -✓✓No
• Celebrities that have an accounting degree -✓✓Janet Jackson, John Grisham,
Simu Liu, & D'Lo Brown
• Which organization is responsible for creating and issuing the financial
accounting standards that form the foundation of generally accepted accounting
principles (GAAP) in the United States? -✓✓(FASB) Financial Accounting
Standards Board
, • How often are external financial accounting reports typically published for
stakeholders, such as investors and regulators? -✓✓Quarterly or Annually
• Which regulation requires the certification and documentation of internal
controls, including an auditor's issuance of an internal report after evaluating those
controls? -✓✓Sarbanes-Oxley Act
• Who was the father of accounting? -✓✓Luca Pacioli
• Formula for Net Income -✓✓Revenue - Expenses
• Accrual Accounting is a method that... -✓✓Records revenues when earned and
expenses when incurred, regardless of when cash changes hands
• Cash basis accounting is a method that... -✓✓Records revenues WHEN cash is
received and expenses WHEN cash is paid, ignoring WHEN the money was earned
or the service was provided
• Purpose of the income statement? -✓✓Report a company's revenues and
expenses over a period of time
• 5 core components of an income statement -✓✓Revenue, expenses, gains, losses,
and net income.
• Income statement is also called? -✓✓Profit & loss statement
