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WGU Accounting-for-Decision-Makers Exam Syllabus Topics:

WGU Accounting for Decision Makers C213 VAC2 Sample Questions:

1. Which item is an operating activity under a U.S. generally accepted accounting principles (GAAP) statement of cash flows?

A) Cash receipts from the sale of a business segment
B) Cash receipts for the sale of plant assets
C) Cash payments for administration expenses
D) Cash payments for purchase of plant assets

2. What is a cost incurred as part of the production process?

A) Opportunity cost
B) Raw materials cost
C) Period cost
D) Sunk cost

3. What does it mean if a company has a debt ratio of 101.5%?

A) The company has 1.5% more total liabilities than total assets
B) The company has 1.5% more total liabilities than gross sales
C) The company has 1.5% more total liabilities than net income
D) The company has 1.5% more current liabilities than current assets

4. What does it mean if a company has a debt ratio of 101.5%?

A) The company has 1.5% more total liabilities than total assets
B) The company has 1.5% more total liabilities than gross sales
C) The company has 1.5% more total liabilities than net income
D) The company has 1.5% more current liabilities than current assets

5. Which two examples represent financial statement errors?
Choose 2 answers.

A) An accounting employee overpays a supplier and receives a portion of the excess as a kickback
B) An outside auditor disagrees with the amount reported as an allowance for uncollectible accounts receivable
C) An accountant unintentionally records amounts as revenue that were prepaid by customers but not yet earned
D) An accounting department miscalculates the payroll tax due at year-end, resulting in an inaccurate liability

Solutions: