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

WGU Accounting for Decision Makers C213 VAC2 Sample Questions:

1. Under the Sarbanes-Oxley Act, which requirement must an accounting firm that audits public companies meet?

A) The firm cannot audit a company for more than five years
B) The firm cannot use any forms of advertising to obtain new audit clients
C) The firm cannot be retained only by the CFO
D) The firm cannot provide several nonaudit services such as internal audit outsourcing to its audit clients

2. Which balance sheet category reflects what a company owns that can be turned into cash or used to generate cash?

A) Revenues
B) Liabilities
C) Owners' equity
D) Assets

3. A company manufactures leather products and has recently switched to the activity-based costing (ABC) method. It needs to determine the cost of its leather wallets. The company is already aware of its DM and DL costs.
What is the first step to calculating the cost of the product?

A) Assign overhead costs
B) Identify overhead cost activities
C) Calculate G & A
D) Double check the DM & DL calculations

4. Which two items increase net income?
Choose 2 answers.

A) Gain on sale of assets
B) Interest income
C) Income tax expense
D) Cost of sales

5. In September, an airline using accrual accounting received cash from a round-trip ticket sold to a customer for
$1,500. The ticket allowed the customer to fly from Denver to Hawaii in October and from Hawaii back to Denver in November.
When should the airline recognize revenue?

A) Only in November
B) In October and November
C) In September, October, and November
D) Only in September

Solutions: