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WGU Accounting-for-Decision-Makers Exam Syllabus Topics:
| Section | Objectives |
|---|---|
| Decision Making and Performance Evaluation | - Make-or-buy and special order decisions - Responsibility accounting and performance metrics - Capital budgeting techniques (NPV, IRR, Payback Period) - Relevant costs for decision making - Balanced Scorecard concepts |
| Managerial Accounting Concepts | - Job order and process costing - Cost-Volume-Profit (CVP) analysis - Cost classification and behavior (fixed, variable, mixed costs) - Contribution margin and break-even analysis |
| Financial Statement Analysis | - Horizontal and vertical analysis - Ratio analysis (liquidity, profitability, solvency, efficiency ratios) - Interpreting financial data for decision-making purposes |
| Budgeting and Planning | - Operating budgets (sales, production, direct materials, direct labor, overhead) - Financial budgets (cash budget, budgeted income statement, budgeted balance sheet) - Master budget components - Variance analysis |
| Financial Accounting Fundamentals | - Understanding the accounting cycle - Accrual vs. cash basis accounting - Preparing financial statements (Income Statement, Balance Sheet, Statement of Cash Flows) - Recording transactions and adjusting entries |
WGU Accounting for Decision Makers C213 VAC2 Sample Questions:
Which financial statement is used to determine a company's income and expenses for a specific period?
- A. Statement of retained earnings
- B. Balance sheet
- C. Statement of cash flows
- D. Income statement
Correct Answer: D š³ļø
Explanation: Only visible for Pass4suresVCE members. You can sign-up / login (it's free).
The following list provides partial financial information for a company.
Current assets = $36,543
Total assets = $58,719
Current liabilities = $24,824
Total liabilities = $48,561
Stockholders' equity = $10,158
Sales = $46,997
Net income = $3,761
Market value of equity = $41,316
What is the current ratio for this company?
- A. 0.83
- B. 1.38
- C. 4.78
- D. 1.47
Correct Answer: D š³ļø
Explanation: Only visible for Pass4suresVCE members. You can sign-up / login (it's free).
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 accounts payable department uses prenumbered checks in the payment of supplier invoices
- B. The inventory department counts and inspects items as received and forwards the receiving record to accounts payable
- C. The company requires two signatures on each check in order for a payment to be sent
- D. The purchasing department authorizes the order of all items before they occur
Correct Answer: B š³ļø
Explanation: Only visible for Pass4suresVCE members. You can sign-up / login (it's free).
Which ratio provides a measure of how well a company turns sales into profits?
- A. Return on expenses
- B. Return on profit
- C. Return on costs
- D. Return on sales
Correct Answer: D š³ļø
Explanation: Only visible for Pass4suresVCE members. You can sign-up / login (it's free).
Which information does a balance sheet provide about a company?
- A. Revenues and expenses for a period of time
- B. Cash collections and cash expenditures at a specific point in time
- C. Assets and liabilities for a specific point in time
- D. Cash collections and cash expenditures for a period of time
Correct Answer: C š³ļø
Explanation: Only visible for Pass4suresVCE members. You can sign-up / login (it's free).
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