WGU C213 Comprehensive Resource To Help You Ace 2026-2027 Includes Frequently
Tested Questions With ELABORATED 100% Correct COMPLETE SOLUTIONS
Guaranteed Pass First Attempt!! Current Update!!
Assets are listed in the order of liquidity. Liquidity is the
amount of time it would usually take to covert an asset
into cash. Obviously, cash would be listed first, followed by
marketable investments (a company can quickly convert
a short-term investment into cash). Accounts receivable
would be listed next followed by inventory, and long-term
investments, fixed assets, and intangibles.
Current assets are listed before long-term assets.
Order of assets listed on the balance sheet
Current liabilities are listed before long-term liabilities,
but there is no specific order they are listed in outside of
current and long-term.
There is also no specific order equity accounts are list-
ed on the balance sheet; although, typically you will see
paid-in-capital followed by retained earnings followed
by accumulated other comprehensive income, and lastly,
treasury stock.
Difference between a manufacturing company and a ser-
vice company.
Period Costs Product Costs
Service Co. Selling Costs Direct Labor The only difference is - a manufacturing company has
Administrative Costs Service Overhead direct materials (inventory).
Manufacturing Co Selling Costs Direct Labor
Administrative Costs Manufacturing Overhead
Direct Materials (inventory
Evaluating a historical income statement to project a fu-
ture income statement.
Calculation for 2016: 110,.10 = 100,000
Projected growth for 2017 = 10% increase over 2016
sales.
, WGU C213 Comprehensive Resource To Help You Ace 2026-2027 Includes Frequently
Tested Questions With ELABORATED 100% Correct COMPLETE SOLUTIONS
Guaranteed Pass First Attempt!! Current Update!!
Step 1: Convert the income statement into a
common sized income statement.
Step 2: Multiply 2016 sales by 1.10 (10% growth) to get
the forecasted 2017 sales. Then multiply the projected
2017 sales by the percentages from step 1.
Now, what would you do if you were given the 2017 sales
figure and you need to calculate the 2016 sales figure
based ott the 10% growth for 2017?
Regulates the U.S. Stock exchanges.
Seeks to create a fair information environment in which
investors can buy and sell stocks.
Congress created the first securities act in 1933 and the
second securities act in 1934 in response to the stock
market crash of 1929.
The Securities Act of 1933 requires most companies plan-
ning to issue new debt or stock securities to the public to
Role of the U. S. Securities and Exchange Commission submit a registration statement to the public for approval.
(SEC) in financial reporting.
The Securities Act of 1934 requires a public company to
file detailed periodic reports including audited financial
statements (form 10-K is the annual report; Form 10-Q is
the quarterly report).
Granted the legal authority to establish accounting stan-
dards. Currently the SEC accepts the pronouncements set
by FASB.
The SEC can suspend trading of a company's stock, and
if hearings show that the issue failed to comply with the
, WGU C213 Comprehensive Resource To Help You Ace 2026-2027 Includes Frequently
Tested Questions With ELABORATED 100% Correct COMPLETE SOLUTIONS
Guaranteed Pass First Attempt!! Current Update!!
securities laws, the SEC can de-list the security.
Congress strengthened the SEC through the enactment
of Sarbanes-Oxley (SOX), which was enacted after the
massive frauds that occurred in the late 1990s and the
early 2000s.
ABC is a more accurate product costing system than
traditional product costing systems.
ABC requires more time and expense to administer than
Compare and Contrast Traditional Costing to Activity
do traditional costing systems.
Based Costing (ABC).
Companies with diverse products involving substantially
different production processes, an ABC system yields bet-
ter cost data and better management decisions.
Fixed costs (FC) are fixed in total, but as sales volume
increases, the per unit FC decreases.
Variable costs (VC) are fixed per unit, but as sales volume
increases, total VC increases.
Stewart Manufacturing produces and sells die cast race
Describe how basic cost behavior patterns change as sales
cars. VC for each die cast car is $3 and total FC are
volumes change.
$300,000
Per Unit Variable costs remains the same
Total Fixed Costs remains the same
Per Unit Fixed Costs decrease
Analyze a statement of cash flows to identify operating, All categories that are on the income statement, and all
investing, and financing activities. current assets and liabilities. i.e. sales (cash received from
Tested Questions With ELABORATED 100% Correct COMPLETE SOLUTIONS
Guaranteed Pass First Attempt!! Current Update!!
Assets are listed in the order of liquidity. Liquidity is the
amount of time it would usually take to covert an asset
into cash. Obviously, cash would be listed first, followed by
marketable investments (a company can quickly convert
a short-term investment into cash). Accounts receivable
would be listed next followed by inventory, and long-term
investments, fixed assets, and intangibles.
Current assets are listed before long-term assets.
Order of assets listed on the balance sheet
Current liabilities are listed before long-term liabilities,
but there is no specific order they are listed in outside of
current and long-term.
There is also no specific order equity accounts are list-
ed on the balance sheet; although, typically you will see
paid-in-capital followed by retained earnings followed
by accumulated other comprehensive income, and lastly,
treasury stock.
Difference between a manufacturing company and a ser-
vice company.
Period Costs Product Costs
Service Co. Selling Costs Direct Labor The only difference is - a manufacturing company has
Administrative Costs Service Overhead direct materials (inventory).
Manufacturing Co Selling Costs Direct Labor
Administrative Costs Manufacturing Overhead
Direct Materials (inventory
Evaluating a historical income statement to project a fu-
ture income statement.
Calculation for 2016: 110,.10 = 100,000
Projected growth for 2017 = 10% increase over 2016
sales.
, WGU C213 Comprehensive Resource To Help You Ace 2026-2027 Includes Frequently
Tested Questions With ELABORATED 100% Correct COMPLETE SOLUTIONS
Guaranteed Pass First Attempt!! Current Update!!
Step 1: Convert the income statement into a
common sized income statement.
Step 2: Multiply 2016 sales by 1.10 (10% growth) to get
the forecasted 2017 sales. Then multiply the projected
2017 sales by the percentages from step 1.
Now, what would you do if you were given the 2017 sales
figure and you need to calculate the 2016 sales figure
based ott the 10% growth for 2017?
Regulates the U.S. Stock exchanges.
Seeks to create a fair information environment in which
investors can buy and sell stocks.
Congress created the first securities act in 1933 and the
second securities act in 1934 in response to the stock
market crash of 1929.
The Securities Act of 1933 requires most companies plan-
ning to issue new debt or stock securities to the public to
Role of the U. S. Securities and Exchange Commission submit a registration statement to the public for approval.
(SEC) in financial reporting.
The Securities Act of 1934 requires a public company to
file detailed periodic reports including audited financial
statements (form 10-K is the annual report; Form 10-Q is
the quarterly report).
Granted the legal authority to establish accounting stan-
dards. Currently the SEC accepts the pronouncements set
by FASB.
The SEC can suspend trading of a company's stock, and
if hearings show that the issue failed to comply with the
, WGU C213 Comprehensive Resource To Help You Ace 2026-2027 Includes Frequently
Tested Questions With ELABORATED 100% Correct COMPLETE SOLUTIONS
Guaranteed Pass First Attempt!! Current Update!!
securities laws, the SEC can de-list the security.
Congress strengthened the SEC through the enactment
of Sarbanes-Oxley (SOX), which was enacted after the
massive frauds that occurred in the late 1990s and the
early 2000s.
ABC is a more accurate product costing system than
traditional product costing systems.
ABC requires more time and expense to administer than
Compare and Contrast Traditional Costing to Activity
do traditional costing systems.
Based Costing (ABC).
Companies with diverse products involving substantially
different production processes, an ABC system yields bet-
ter cost data and better management decisions.
Fixed costs (FC) are fixed in total, but as sales volume
increases, the per unit FC decreases.
Variable costs (VC) are fixed per unit, but as sales volume
increases, total VC increases.
Stewart Manufacturing produces and sells die cast race
Describe how basic cost behavior patterns change as sales
cars. VC for each die cast car is $3 and total FC are
volumes change.
$300,000
Per Unit Variable costs remains the same
Total Fixed Costs remains the same
Per Unit Fixed Costs decrease
Analyze a statement of cash flows to identify operating, All categories that are on the income statement, and all
investing, and financing activities. current assets and liabilities. i.e. sales (cash received from
