WGU C213 |OA |Objective Assessment -Solved
Rated A+
Correct
Incorrect
1 of 70
Definition
Costs that involve the outlay of cash or the use of some other asset
(like equipment).
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Merchandising companies Out-of-Pocket Costs:
Variable Costs: Government Agencies
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2 of 70
Definition
,The cost of the wages of the workers who are assembling the direct
materials into the finished product. In producing an automobile, the
direct labor cost is the compensation cost of the auto workers on the
assembly line.
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Direct Labor: Indirect Materials:
Variable Costs: Indirect Costs:
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3 of 70
Term
Describe the role of key ethical standards in the field of
management accounting.
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The main professional association for management accountants is the Institute
of Management Accounting (IMA). It has established a code of conduct to
help guide management accountants when they fact ethical dilemmas. Their
members are ethically required to:
-Be competent in their profession
-Not disclose confidential information
, -Act with both actual and apparent integrity in all situations
-Maintain objectivity when communicating information to decision maker
The statement of cash flows explains how a company's cash was generated during
the period and how that cash was used. Explains change in cash account between
two balance sheet dates.
main purpose is to provide a firm's management with information they can use to
run the business more efficiently and effectively. However, managers also use
financial accounting reports to accomplish these goals as well.
Accounting is the recording of the day-to-day financial activities of a company and
the organization of that information into summary reports used to evaluate the
company's financial status.
Bookkeeping is a part of accounting. Bookkeeping refers to the process of
recording transactions into various accounts, which is the first step in accounting.
The next step is to analyze the accounts and organize them into financial statements
and other useful reports.
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4 of 70
Definition
The PCAOB determines who can audit public companies regardless of
whether the audit firm is accredited by a state Board of Accountancy.
Thus, they accredit firms that can audit public companies.
Give this one a try later!
, Financial Accounting Standards Securities and Exchange Commission
Board (FASB) (SEC)
American Institute of Certified Public Public Company Accounting
Accountants (AICPA) Oversight Board (PCAOB)
Don't know?
5 of 70
Term
Describe the purpose of management accounting.
Give this one a try later!
main purpose is to provide a firm's management with information they can use
to run the business more efficiently and effectively. However, managers also
use financial accounting reports to accomplish these goals as well.
Audit conducted by external (independent) qualified accountant(s). These
accountants are usually CPAs, but they may not be. Each state determines who can
be a CPA in that state and states have slightly different requirements.
The independent accounting firm conducts tests to determine whether the financial
statements fairly reflect the financial status of the company issuing them and
whether the financial statements were prepared using Generally Accepted
Accounting Principles (GAAP). The tests include an examination of the original
documents underlying key transactions, a spot check to verify that reported
inventory actually does exist, and contact with a sample of customers and suppliers
to confirm the sales and purchases reported by the company. The external auditor
would also carefully review the system of procedures and controls within the
company to determine whether the accounting records are maintained in a reliable
Rated A+
Correct
Incorrect
1 of 70
Definition
Costs that involve the outlay of cash or the use of some other asset
(like equipment).
Give this one a try later!
Merchandising companies Out-of-Pocket Costs:
Variable Costs: Government Agencies
Don't know?
2 of 70
Definition
,The cost of the wages of the workers who are assembling the direct
materials into the finished product. In producing an automobile, the
direct labor cost is the compensation cost of the auto workers on the
assembly line.
Give this one a try later!
Direct Labor: Indirect Materials:
Variable Costs: Indirect Costs:
Don't know?
3 of 70
Term
Describe the role of key ethical standards in the field of
management accounting.
Give this one a try later!
The main professional association for management accountants is the Institute
of Management Accounting (IMA). It has established a code of conduct to
help guide management accountants when they fact ethical dilemmas. Their
members are ethically required to:
-Be competent in their profession
-Not disclose confidential information
, -Act with both actual and apparent integrity in all situations
-Maintain objectivity when communicating information to decision maker
The statement of cash flows explains how a company's cash was generated during
the period and how that cash was used. Explains change in cash account between
two balance sheet dates.
main purpose is to provide a firm's management with information they can use to
run the business more efficiently and effectively. However, managers also use
financial accounting reports to accomplish these goals as well.
Accounting is the recording of the day-to-day financial activities of a company and
the organization of that information into summary reports used to evaluate the
company's financial status.
Bookkeeping is a part of accounting. Bookkeeping refers to the process of
recording transactions into various accounts, which is the first step in accounting.
The next step is to analyze the accounts and organize them into financial statements
and other useful reports.
Don't know?
4 of 70
Definition
The PCAOB determines who can audit public companies regardless of
whether the audit firm is accredited by a state Board of Accountancy.
Thus, they accredit firms that can audit public companies.
Give this one a try later!
, Financial Accounting Standards Securities and Exchange Commission
Board (FASB) (SEC)
American Institute of Certified Public Public Company Accounting
Accountants (AICPA) Oversight Board (PCAOB)
Don't know?
5 of 70
Term
Describe the purpose of management accounting.
Give this one a try later!
main purpose is to provide a firm's management with information they can use
to run the business more efficiently and effectively. However, managers also
use financial accounting reports to accomplish these goals as well.
Audit conducted by external (independent) qualified accountant(s). These
accountants are usually CPAs, but they may not be. Each state determines who can
be a CPA in that state and states have slightly different requirements.
The independent accounting firm conducts tests to determine whether the financial
statements fairly reflect the financial status of the company issuing them and
whether the financial statements were prepared using Generally Accepted
Accounting Principles (GAAP). The tests include an examination of the original
documents underlying key transactions, a spot check to verify that reported
inventory actually does exist, and contact with a sample of customers and suppliers
to confirm the sales and purchases reported by the company. The external auditor
would also carefully review the system of procedures and controls within the
company to determine whether the accounting records are maintained in a reliable
