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WGU C213 OBJECT ASSESSMENT ACCOUNTING FOR DECISION MAKERS EXAM QUESTIONS AND ANSWERS 2024
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WGU C213 OBJECT ASSESSMENT ACCOUNTING FOR DECISION MAKERS EXAM QUESTIONS AND ANSWERS 2024
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WGU C213 OBJECT ASSESSMENT ACCOUNTINGFOR DECISION MAKERS EXAM
Which cash flow ratio reflects a company's ability to make its interest payments
from cash generated through operations?
Cash times interest earned
In general, most companies have significant noncash expenses that reduce net
income and also cause the cash flow-to-net income ratio to be
Greater than 1
The cash flow adequacy ratio is computed as
Cash from operations ÷ Cash for investing activities
The particular analytical measures chosen to analyze a company may be
influenced by all BUT which one of the following?
Product quality or service effectiveness
Which one of these is NOT one of the benchmarking problems that arises when
analyzing financial statements?
All of these are benchmarking problems
,A company has a credit policy of net 10 and is considering changing it to net 30 to
be more in line with industry standards. What is a benefit to changing the credit
policy?
Attracting more customers
Burke Corporation had accounts receivable of $44,400 on April 1 and $33,600 on
April 30. How much cash was collected from accounts receivable during April if
Burke's April sales on account totaled $134,400?
$145,200
For 2011, Raster Graphics forecasts cash receipts of $405,000 and cash
disbursements of $430,000. If the beginning cash balance is $35,000 and the
desired ending balance is $21,000, how much must Raster borrow during the
year?
$11,000
Which of the following statements is true about errors in the financial statements
of a company?
Errors are not intentional and when detected are immediately corrected.
Which one of the following errors causes net income to be understated?
Failure to record revenue earned but not billed
Which of the following is NOT a reason for problems occurring in the financial
statements?
,Safeguards
Failure to record the used portion of supplies on hand during the month has the
following effect on the financial statements prepared at the end of the month
Overstates assets
If the total amount for Rent Expense is inadvertently posted to Prepaid Rent at
the end of the year, what will be the effect on the year-end financial statements?
Assets will be overstated
Which of the following statements is true about errors in the financial statements
of a company?
Errors are not intentional and when detected are immediately corrected.
Which one of the following errors causes net income to be understated?
Failure to record revenue earned but not billed
Which of the following is NOT a reason for problems occurring in the financial
statements?
Safeguards
Failure to record the used portion of supplies on hand during the month has the
following effect on the financial statements prepared at the end of the month
, Overstate assets
If the total amount for Rent Expense is inadvertently posted to Prepaid Rent at
the end of the year, what will be the effect on the year-end financial statements?
Assets will be overstated
Which of the following is a characteristic of a well-designed document?
All of these are characteristic of a well-designed document.
Control activities can be defined as
The policies and procedures used by management to meet their objectives.
The ability a company has to pay its debts in the short run is its
Liquidity
Which of the following is a measure of the liquid position of a corporation?
Debt ratio
Which of the following ratios is used to measure a firm's leverage?
Debt Ratio
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