WGU D102 Financial Accounting Exam with Complete Solutions

What information is contained in a balance sheet? - ANSWER-Report of a company's financial position as of a point in time. What is an owners' equity item? Accounts receivable Loans payable Capital stock Cash - ANSWER-Capital Stock A company ended July with assets of $150,000 and owner's equity of $60,000. What is the amount of liabilities at the end of July? - ANSWER-$90,000 What is reported in a multiple-step income statement that is not reported in a single-step income statement? - ANSWER-Gross Profit How is gross profit computed? - ANSWER-Sales minus cost of goods sold. The following are some accounts from a company's financial statements: (accounts receivable, cost of goods sold, cash, retained earnings, sales, inventory, income tax expense, accounts payable) Which set is a list of all of the items that are used in computing this company's net income? - ANSWER-Sales, cost of goods sold, and income tax expense. What cash flow category contains activities whereby cash is obtained from or repaid to owners or creditors? - ANSWER-Financing Here are some financial statement items for the year for a company. Cash received from customers Cash received from the sale of land Cash paid for dividends Cash paid to employees for wages Cash paid to purchase a new building Cash paid for rent Cash received as new investment from owners Which set of items is a list of items that are used in computing the company's financing cash flow for the year? - ANSWER-Cash paid for dividends and cash received as new investment from owners. Here are some financial statement items for a company. Net income