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

WGU Accounting for Decision Makers C213 VAC2 Sample Questions:

1. Which act was implemented as a result of the corporate scandals at companies such as Enron and WorldCom?

A) Auditing Accountability Act
B) Securities Exchange Act
C) Corporate Accountability Act
D) Sarbanes-Oxley Act

2. How does management accounting differ from financial accounting?

A) Management accounting presents an unbiased view of a company's economic performance
B) Management accounting is used primarily for internal planning, control, and evaluation
C) Management accounting is not used to gain a competitive advantage in the marketplace
D) Management accounting is restricted to providing financial rather than nonfinancial data

3. What is an advantage of the indirect method of the cash flow statement?

A) Easy to avoid making mistakes because the method reveals indirect costs
B) Easy for a novice to decipher operating cash flow information
C) Easy to reconcile between net income and cash flows
D) Easy to highlight the difference between direct and indirect costs

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

A) The firm cannot use any forms of advertising to obtain new audit clients
B) The firm cannot audit a company for more than five years
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

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

Solutions: