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WGU Accounting-for-Decision-Makers Exam Syllabus Topics:

WGU Accounting for Decision Makers C213 VAC2 Sample Questions:

1. 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) Double check the DM & DL calculations
C) Assign overhead costs
D) Identify overhead cost activities

2. What can be determined when a firm performs an external audit of a company's financial statements?

A) Whether a company's financial statements fairly reflect its financial position
B) Whether a company's financial statements indicate that the company has to pay income taxes
C) Whether a company's financial statements indicate it made a profit
D) Whether a company's financial statements were prepared by a trained bookkeeper

3. 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) $126,500
B) $158,000
C) $112,500
D) $265,000

4. Which two items increase net income?
Choose 2 answers.

A) Cost of sales
B) Interest income
C) Income tax expense
D) Gain on sale of assets

5. Which role do ethical standards have in management accounting?

A) To provide the management accountant with the ability to know whether a person will act ethically or not
B) To provide the management accountant with the ability to work with only companies that follow strict ethical principles
C) To prevent all unethical behavior of anyone the management accountant may work with
D) To guide the resolution to possible ethical dilemmas that the managerial accountant may encounter

Solutions: