100% satisfaction guarantee Immediately available after payment Both online and in PDF No strings attached
logo-home
WGU D196 Exam | Principles of Financial and Managerial Accounting Exam | Questions and Answers Rated A+ | 2024/2025 Guide $11.09   Add to cart

Exam (elaborations)

WGU D196 Exam | Principles of Financial and Managerial Accounting Exam | Questions and Answers Rated A+ | 2024/2025 Guide

 6 views  0 purchase
  • Course
  • WGU D196
  • Institution
  • WGU D196

WGU D196 Exam | Principles of Financial and Managerial Accounting Exam | Questions and Answers Rated A+ | 2024/2025 Guide WGU D196 Exam | Principles of Financial and Managerial Accounting Exam | Questions and Answers Rated A+ | 2024/2025 Guide WGU D196 Exam | Principles of Financial and Man...

[Show more]

Preview 4 out of 41  pages

  • October 24, 2024
  • 41
  • 2024/2025
  • Exam (elaborations)
  • Questions & answers
  • WGU D196
  • WGU D196
avatar-seller
nursehailey
WGU D196 Exam | Principles of
Financial and Managerial Accounting
Exam | Questions and Answers Rated
A+ | 2024/2025 Guide


Accounting
- Correct Answer quantitive, financial & useful, decisions (based on past
info for better prediction of the future)


Decision-Making Process
- Correct Answer 1. Identify issue
2. Gather Info
- accounting decisions, how much will it cost?, ads? insurance?
Employee pay?


Accounting is the
- Correct Answer "language of business" used to record & report the
financial effects of business activities


Capital/ Financing
- Correct Answer the money a business uses to get the resources it
needs
- Buildings, equipment, etc

The money comes from:
1. Investors (owners)
2. Creditors (lenders)
3. Business itself in form of earnings that have been retained (stored)

,Accountants role in Business
- Correct Answer Measure & Report
- results of business activities
- what were our sales? Sales in the country? Worldwide?
-Specific data on aisel products
- Measures business events & reports it to the decision makers

Advice
-understand the flow of business, where the sales are
- well positioned to advise on company actions
- understands how they're buying the stuff their selling & where the $ is
coming from, knows what's been paid or not
- can become decision makers after expertise in accounting


2 Primary Areas of Accounting
- Correct Answer Managerial Accounting
- Internal quantitive info used for internal decision-making
- gathering & analysis of info for the internal decsion-making
- intended for those inside, who are making daily decisions
- product costs
- breakeven analysis
- budgeting
- performance evaluation

Financial Accounting
- external
- credit analysis
- regulatory uses (financial health of bank and insurance companies)
-the summary data of managerial/ internal/ secret stuff that is then
gathered, reported, & analyzed for those on the outside; investors &
creditors
- occasional decisions


The Accounting Cycle
- Correct Answer Internal reporting (management accounting)
- financial reports for internal reports
-ex: budgets, cost analysis, divisional performance reports

,External reporting (financial accounting)
- Other external reports
- Ex: registration statements, income tax forms by the IRS


Financial Accounting
- Correct Answer common reporting platform, so that outsiders can
easily compare between companies

Regulators set the rules:
- GAAP (Generally Accepted Accounting Principles)
- FASB (Financial Accounting Standards Board)
- SEC (Securities and Exchange Commission)
- IASB (International Accounting Standards Board)


Management Accounting
- Correct Answer *allows you to know how to run your business better

Source- practices evolve, competitors see that it's working well and they
do the same

Purpose- exists to serve the competitive needs of a company, to be
better suited for the customers and markets, to do business better

Outcome- results in both financial and non-financial data, like employee
turnover, season, popular items, country, location
- proprietary (secret) not gonna give away my secrets


Financial Accounting
- Correct Answer *what are the results of how I did my business
Source- governed by rules, professional institutes

Purpose- exists as a scorecard for lendors and investors to know where
to spend their money

, Outcome- only financial data, available to the public, reported
consistently across companies for investors and creditors


Decision Making Using Management Accounting Data
- Correct Answer *Managers manage
Using management accounting data all throughout to make better
business decisions
*cycle!!!

Planning
- recognize needs
- identify alternatives
- evaluate choices
- implement decisions

Controlling
- create budgets
-create performance measures
- gather results
- compute variances (this is what we wanted you to do, this is what you
did do, lets get things in line)


Evaluating
-reward performance
-provide feedback
-identify problems and figure out how to move forward, then plan all over
again


Product line income statement
- Correct Answer an income statement that shows the operating income
of each product line, as well as the company as a whole


product-line profitability report

The benefits of buying summaries with Stuvia:

Guaranteed quality through customer reviews

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

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

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 nursehailey. Stuvia facilitates payment to the seller.

Will I be stuck with a subscription?

No, you only buy these notes for $11.09. You're not tied to anything after your purchase.

Can Stuvia be trusted?

4.6 stars on Google & Trustpilot (+1000 reviews)

85443 documents were sold in the last 30 days

Founded in 2010, the go-to place to buy study notes for 14 years now

Start selling
$11.09
  • (0)
  Add to cart