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WGU Accounting for Decision Makers C213 VAC2 Sample Questions:

1. Which body regulates a certified public accounting firm's audit practices when the firm is auditing a large, publicly traded company?

A) The Financial Accounting Standards Board (FASB)
B) The Financial Accounting Standards Advisory Council (FASAC)
C) The Public Company Accounting Oversight Board (PCAOB)
D) The Internal Revenue Service (IRS)

2. The following list provides partial financial information for a company.
Beginning cash balance = $1,200
Received cash from sales of goods = $16,000
Paid wages and salaries = $4,500
Received cash from non-trading securities = $5,000
Paid cash for plant assets = $6,000
Received cash from loans = $8,000
Paid cash in repayment of loans = $2,000
What is the ending cash balance for this company?

A) $18,700
B) $17,700
C) $16,500
D) $20,000

3. Which overhead cost is associated with batch-level activities?

A) Product engineering wages
B) Machine setups
C) Property taxes
D) Factory insurance

4. Which role do ethical standards have in management accounting?

A) To guide the resolution to possible ethical dilemmas that the managerial accountant may encounter
B) To provide the management accountant with the ability to know whether a person will act ethically or not
C) To provide the management accountant with the ability to work with only companies that follow strict ethical principles
D) To prevent all unethical behavior of anyone the management accountant may work with

5. Which internal control is intended to ensure that a company does not mistakenly pay a supplier for an invoice that includes more items than were actually received?

A) The inventory department counts and inspects items as received and forwards the receiving record to accounts payable
B) The purchasing department authorizes the order of all items before they occur
C) The company requires two signatures on each check in order for a payment to be sent
D) The accounts payable department uses prenumbered checks in the payment of supplier invoices

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