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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) Corporate Accountability Act
C) Securities Exchange Act
D) Sarbanes-Oxley Act

2. What purpose do the notes within financial statements serve to the Financial Accounting Standards Board?

A) Providing supplementary information as needed
B) Providing a summary of accounting policies
C) Disclosing financial statistics
D) Summarizing totals of financial statements

3. A company collects 20% of the credit sales in the month of sale and the rest is collected equally in the following two months. The company made the following credit sales:
January = $500,000
February = $420,000
March = $545,000
April = $550,000
May = $555,000
June = $567,000
July = $600,000
Which is the correct amount of cash collection in the month of September?

A) $670,000
B) $624,000
C) $625,000
D) $658,000

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

5. A manufacturer produces three products A, B, and C.
The company uses the following information to determine activity rates for each pool.
Cost Pool
Costs
Total Activity
Pool 1
$300,000
20,000 hours
Pool 2
$20,000
500 pounds
Pool 3
$10,000
100 moves
Data concerning the three products appear in the following table.
Cost Driver
Product A
Product B
Product C
Number of hours
10,000
7,500
2,500
Number of pounds
150
250
100
Number of moves
20
40
50
What is the total amount of overhead applied to Product B?

A) $158,000
B) $112,500
C) $265,000
D) $126,500

Solutions: