2025/2026 WGU C213 ACCOUNTING FOR
DECISION MAKERS FINAL EXAM
QUESTIONS AND
ANSWERS(HIGHLIGHTED) GRADED A+
What does accounting focus on?
The impact a business's activities have on it's overall financial performance
Which report summarizes cash collections and cash expenditures from operating, investing, and
financing activities over a period of time?
Statement of cash flows
Which users would have a primary concern with an organization's ability to provide healthcare
benefits?
Employees
Which benefit does a corporation gain by following Generally Accepted Accounting Principals
(GAAP)?
An increase in its comparability to other companies
Which body regulates a certified public accounting firm's audit practices when the firm is
auditing a large publicly traded company?
The FASB
, What has had the most significant impact on accounting practices?
Information Technology
What two items of information are revealed on the balance sheet?
Debt, Ownership
Which term is defined as the residual interest in the net assets of a company?
Owner's equity
A corporation has total liabilities of $300 million, total owner's equity of $100 million, and
current assets of $50 million. What is the value of the firm's long-term assets?
$350 million
Which situation should result in revenue recognition on the income statement for the year ending
12/31/14 if the firm is using accrual-basis accounting?
In 2014, a company provides services to a customer for which cash will be collected the next
year (2015)
Which category on the statement of cash flows summarizes cash receipts and payments to
owners and creditors of the company?
Cash flows from financing activities
Where would an investor find a summary of a company's significant accounting policies?
DECISION MAKERS FINAL EXAM
QUESTIONS AND
ANSWERS(HIGHLIGHTED) GRADED A+
What does accounting focus on?
The impact a business's activities have on it's overall financial performance
Which report summarizes cash collections and cash expenditures from operating, investing, and
financing activities over a period of time?
Statement of cash flows
Which users would have a primary concern with an organization's ability to provide healthcare
benefits?
Employees
Which benefit does a corporation gain by following Generally Accepted Accounting Principals
(GAAP)?
An increase in its comparability to other companies
Which body regulates a certified public accounting firm's audit practices when the firm is
auditing a large publicly traded company?
The FASB
, What has had the most significant impact on accounting practices?
Information Technology
What two items of information are revealed on the balance sheet?
Debt, Ownership
Which term is defined as the residual interest in the net assets of a company?
Owner's equity
A corporation has total liabilities of $300 million, total owner's equity of $100 million, and
current assets of $50 million. What is the value of the firm's long-term assets?
$350 million
Which situation should result in revenue recognition on the income statement for the year ending
12/31/14 if the firm is using accrual-basis accounting?
In 2014, a company provides services to a customer for which cash will be collected the next
year (2015)
Which category on the statement of cash flows summarizes cash receipts and payments to
owners and creditors of the company?
Cash flows from financing activities
Where would an investor find a summary of a company's significant accounting policies?
