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

WGU Accounting for Decision Makers C213 VAC2 Sample Questions:

Question 1

Which two items on an income statement result in decreased net income if they are increased?
Choose 2 answers.

A. Cost of goods sold
B. Interest expense
C. Revenues
D. Gains

Question 2

Which formula yields a cash times interest earned ratio of 11?

A. Cash before interest and taxes of $11,000 / cash paid for interest of $1,000
B. Cash before interest and taxes of $11,000 / cash paid for income taxes of $1,000
C. Cash before interest and taxes of $11,000 / cash from operations of $1,000
D. Cash before interest and taxes of $11,000 / cash paid for acquisitions of $1,000

Question 3

Which two items increase net income?
Choose 2 answers.

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

Question 4

A company prepared the following contribution margin income statement for the actual sale of 10,000 shoes:
Sales revenue = $600,000
Variable costs = $400,000
Contribution margin = $200,000
Less fixed costs = $150,000
Net income = $50,000
What would be the forecasted net income for the sale of 14,000 shoes based on the actual results above?

A. $70,000
B. $130,000
C. $40,000
D. $230,000

Question 5

Which overhead cost is associated with batch-level activities?

A. Property taxes
B. Factory insurance
C. Product engineering wages
D. Machine setups

Solutions: