Exam (elaborations)
D102 Financial Accounting WGU/52 Questions and Answers 2024
- Course
- Institution
D102 Financial Accounting WGU/52 Questions and Answers 2024
[Show more]
Seller
Follow
Victorious23
Reviews received
Content preview
D102 Financial Accounting WGU/52 Questionsand Answers 2024
What information is contained in a balance sheet? - -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 - -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? - -$90,000
-What is reported in a multiple-step income statement that is not reported in
a single-step income statement? - -Gross Profit
-How is gross profit computed? - -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? - -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? - -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? - -Cash paid for dividends and
cash received as new investment from owners.
-Here are some financial statement items for a company.
, Net income
Cash flow from financing activities
Cash balance at the beginning of the year
Sales Cash flow from investing activities
Accounts receivable
Retained earnings at the beginning of the year
Cash flow from operating activities
What items are used in computing the company's ending cash balance for
the year? - -Cash balance at the beginning of the year, cash flow from
operating activities, cash flow from investing activities, and cash flow from
financing activities.
-How is revenue typically recorded with debits and credits? - -As a credit,
representing an increase in equity.
-What is the proper way to record an increase in an asset account and an
increase in an equity account? - -Asset, debit; equity, credit
-How are expenses typically recorded with debits and credits? - -As a debit,
representing an increase in assets.
-A company purchased inventory for $5,000. The company paid $1,000 cash
and the remainder of the purchase was made on account.
What is included in the journal entry necessary to record this inventory
purchase? - -Credit to accounts payable for $4,000.
-A company sold inventory that cost $1,300 for $2,000. It received $500
cash and the remainder was on account.
What is included in the journal entry or entries necessary to record this sale
of inventory? - -Debit to accounts receivable for $1,500.
-On August 1 of Year 1, a company paid $7,200 for two years' rent. The
rental period starts on August 1 of Year 1.
Which debit or credit is correctly included in the adjusting journal entry
necessary on December 31 of Year 1? - -Debit to rent expense for $1,500.
-The revenue recognition principle states that revenues are recorded when
two main criteria have been met. One of those criteria is that cash has been
collected or collectability is reasonably assured.
What is the other criterion? - -The earnings process is substantially
complete.
-What is the matching principle? - -Expenses are recorded in the same
period in which the corresponding revenue is recorded.
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller Victorious23. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $10.49. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
77254 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now