WGUl C213l Objectivel Assessmentl (Latestl 2025/l 2026l Update)l Accountingl forl Decisionl Makersl Guide|l Questionsl &l Answers|l Gradel A|l 100%l Correctl (Verifiedl Solutions)
Q:l thel professionall organizationl ofl certifiedl publicl accountantsl (CPAs)l inl thel Unitedl States
Answer:
Americanl Institutel ofl Certifiedl Publicl Accountantsl (AICPA)
Q:l thel organizationl thatl inspectsl thel auditl practicesl ofl registeredl auditl firmsl andl hasl statutoryl authorityl tol investigatel questionablel auditl practicesl andl tol imposel sanctionsl suchl asl barringl anl auditl firml froml auditingl SEC-registeredl companies
Answer:
Publicl Companyl Accountingl Oversightl Boardl (PCAOB)
Q:l Gov'tl agencyl thatl establishesl rulesl tol definel exactlyl whenl incomel shouldl bel taxed.l Itl hasl nol rolel inl settingl financiall accountingl rules;l andl al company'sl financiall statementsl arel notl usedl inl determiningl howl muchl taxl thel companyl mustl pay
Answer:
Internall Revenuel Servicel (IRS)
Q:l Organizationl thatl wasl formedl tol developl al commonl setl ofl worldwidel accountingl standards.l Itsl standardsl arel increasinglyl acceptedl worldwide,l butl FASBl rulesl arel stilll thel standardl inl thel Unitedl States.
Answer:
Thel Internationall Accountingl Standardsl Boardl (IASB) 1 / 3
Q:l Whichl 3l factorsl havel combinedl tol makel rightl nowl al timel ofl significantl changel inl accounting?
Answer:
1.l Rapidl Advancementsl inl thel ITl field
2.l thel internationall integrationl ofl worldwidel business
3.l Increasedl scrutinyl associatedl withl largel corporatel accountingl scandals
Q:l Al wavel ofl accountingl scandalsl startingl inl 2001l resultedl inl thisl act,l whichl increasesl U.S.l federall governmentl scrutinyl ofl thel productionl ofl financiall statements.
Answer:
Sarbanes-Oxleyl Act
Q:l reportsl al company'sl financiall positionl atl al specifiedl pointl inl timel andl listsl thel company'sl resourcesl (assets),l obligationsl (liabilities),l andl netl ownershipl interestl (owners'l equity).
Answer:
Balancel Sheet
Q:l probablel futurel economicl benefitsl obtainedl orl controlledl byl al companyl asl al resultl ofl pastl transactionsl orl events
Answer:
Assets
Q:l probablel futurel sacrificesl ofl economicl benefitsl arisingl froml presentl obligationsl ofl al companyl tol transferl assetsl orl providel servicesl inl thel futurel asl al resultl ofl pastl transactionsl orl events
Answer:
Liabilities 2 / 3
Q:l thel residuall interestl inl thel assetsl ofl al companyl thatl remainsl afterl deductingl itsl liabilities
Answer:
Owners'l equity
Q:l Whatl isl thel accountingl equation?
Answer:
Assetsl =l Liabilitiesl +l Owners'l Equity
Q:l Inl whatl orderl arel assetsl typicallyl listedl onl thel balancel sheet?
Answer:
Byl orderl ofl liquidity
Q:l Liabilitiesl arel dividedl intol whichl 2l categoriesl onl thel balancel sheet?
Answer:
Currentl andl Long-term
Q:l Whatl isl thel entityl concept?
Answer:
statesl thatl thel financiall resultsl ofl anl economicl entityl shouldl bel reportedl separatelyl froml thel financiall resultsl ofl otherl entities,l evenl thoughl alll thosel entitiesl mayl bel controlledl byl thel samel person
Q:l Equationl tol calculatel netl income
Answer:
(revenues-expense=l netl income)
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