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PRE-ASSESSMENT: ACCOUNTING FOR DECISION MAKERS
(PVAC)
Attempt #1
Status: Passed
1. What does accounting focus on?
YOUR CORRECT
ANSWER ANSWER
The impact a business's activities have on its relationships with
customers
The impact a business's activities have on the environment
The impact a business's activities have on its public image
The impact a business's activities have on its overall financial
performance
2. Which report summarizes cash collections and cash expenditures from operating, investing, and
financing activities over a period of time?
YOUR CORRECT
ANSWER ANSWER
Cash receipts and disbursements sheet
Cash flow schedule
Summary of cash receipts
Statement of cash flows
https://my.wgu.edu/coaching-report/preassessment-report/v1/studentPidm/10980624/assessmentCode/PVAC/testDate/1746025059 Page 1 of 40
,WGU Student Portal 5/1/25, 6:14 PM
3. Which users would have a primary concern with an organization’s ability to provide healthcare
benefits?
YOUR CORRECT
ANSWER ANSWER
Competitors
Employees
Vendors
Suppliers
4. Which benefit does a corporation gain by following Generally Accepted Accounting Principles
(GAAP)?
YOUR CORRECT
ANSWER ANSWER
A decrease in its income tax obligations
A decrease in the amount of net income it reports
An increase in its comparability to other companies
An increase in the amount of assets it reports
5. Which body regulates a certified public accounting firm’s audit practices when the firm is auditing
a large publicly traded company?
YOUR CORRECT
ANSWER ANSWER
The Public Company Accounting Oversight Board (PCAOB)
The Financial Accounting Standards Board (FASB)
Another certified public accounting (CPA) firm
The Internal Revenue Service (IRS)
https://my.wgu.edu/coaching-report/preassessment-report/v1/studentPidm/10980624/assessmentCode/PVAC/testDate/1746025059 Page 2 of 40
,WGU Student Portal 5/1/25, 6:14 PM
6. What has had the most significant impact on accounting practices?
YOUR CORRECT
ANSWER ANSWER
Certification requirements
New product innovations
Information technology
Mobile computing
7. What two items of information are revealed on the balance sheet?
Choose 2 answers
YOUR CORRECT
ANSWER ANSWER
Ownership
Debt
Expenses
Revenues
Costs
8. Which term is defined as the residual interest in the net assets of a company?
YOUR CORRECT
ANSWER ANSWER
Operating income
Liabilities
Revenues
Owners’ equity
https://my.wgu.edu/coaching-report/preassessment-report/v1/studentPidm/10980624/assessmentCode/PVAC/testDate/1746025059 Page 3 of 40
, WGU Student Portal 5/1/25, 6:14 PM
9. A corporation has total liabilities of $300 million, total owners’ equity of $100 million, and
current assets of $50 million.
What is the value of the firm's long-term assets?
YOUR CORRECT
ANSWER ANSWER
$250 million
$350 million
$400 million
$450 million
10. Which situation should result in revenue recognition on the income statement for the year ending
12/31/14 if the firm is using accrual-basis accounting?
YOUR CORRECT
ANSWER ANSWER
In 2014, a company enters into a contract whereby it agrees to
provide services to a customer next year (2015).
In 2014, a company collects cash from a customer for services it
will provide next year (2015).
In 2014, a company provides services to a customer for which
cash will be collected the next year (2015).
In 2014, a company collects cash from a customer for services it
provided in the previous year (2013).
https://my.wgu.edu/coaching-report/preassessment-report/v1/studentPidm/10980624/assessmentCode/PVAC/testDate/1746025059 Page 4 of 40
Help Articles
PRE-ASSESSMENT: ACCOUNTING FOR DECISION MAKERS
(PVAC)
Attempt #1
Status: Passed
1. What does accounting focus on?
YOUR CORRECT
ANSWER ANSWER
The impact a business's activities have on its relationships with
customers
The impact a business's activities have on the environment
The impact a business's activities have on its public image
The impact a business's activities have on its overall financial
performance
2. Which report summarizes cash collections and cash expenditures from operating, investing, and
financing activities over a period of time?
YOUR CORRECT
ANSWER ANSWER
Cash receipts and disbursements sheet
Cash flow schedule
Summary of cash receipts
Statement of cash flows
https://my.wgu.edu/coaching-report/preassessment-report/v1/studentPidm/10980624/assessmentCode/PVAC/testDate/1746025059 Page 1 of 40
,WGU Student Portal 5/1/25, 6:14 PM
3. Which users would have a primary concern with an organization’s ability to provide healthcare
benefits?
YOUR CORRECT
ANSWER ANSWER
Competitors
Employees
Vendors
Suppliers
4. Which benefit does a corporation gain by following Generally Accepted Accounting Principles
(GAAP)?
YOUR CORRECT
ANSWER ANSWER
A decrease in its income tax obligations
A decrease in the amount of net income it reports
An increase in its comparability to other companies
An increase in the amount of assets it reports
5. Which body regulates a certified public accounting firm’s audit practices when the firm is auditing
a large publicly traded company?
YOUR CORRECT
ANSWER ANSWER
The Public Company Accounting Oversight Board (PCAOB)
The Financial Accounting Standards Board (FASB)
Another certified public accounting (CPA) firm
The Internal Revenue Service (IRS)
https://my.wgu.edu/coaching-report/preassessment-report/v1/studentPidm/10980624/assessmentCode/PVAC/testDate/1746025059 Page 2 of 40
,WGU Student Portal 5/1/25, 6:14 PM
6. What has had the most significant impact on accounting practices?
YOUR CORRECT
ANSWER ANSWER
Certification requirements
New product innovations
Information technology
Mobile computing
7. What two items of information are revealed on the balance sheet?
Choose 2 answers
YOUR CORRECT
ANSWER ANSWER
Ownership
Debt
Expenses
Revenues
Costs
8. Which term is defined as the residual interest in the net assets of a company?
YOUR CORRECT
ANSWER ANSWER
Operating income
Liabilities
Revenues
Owners’ equity
https://my.wgu.edu/coaching-report/preassessment-report/v1/studentPidm/10980624/assessmentCode/PVAC/testDate/1746025059 Page 3 of 40
, WGU Student Portal 5/1/25, 6:14 PM
9. A corporation has total liabilities of $300 million, total owners’ equity of $100 million, and
current assets of $50 million.
What is the value of the firm's long-term assets?
YOUR CORRECT
ANSWER ANSWER
$250 million
$350 million
$400 million
$450 million
10. Which situation should result in revenue recognition on the income statement for the year ending
12/31/14 if the firm is using accrual-basis accounting?
YOUR CORRECT
ANSWER ANSWER
In 2014, a company enters into a contract whereby it agrees to
provide services to a customer next year (2015).
In 2014, a company collects cash from a customer for services it
will provide next year (2015).
In 2014, a company provides services to a customer for which
cash will be collected the next year (2015).
In 2014, a company collects cash from a customer for services it
provided in the previous year (2013).
https://my.wgu.edu/coaching-report/preassessment-report/v1/studentPidm/10980624/assessmentCode/PVAC/testDate/1746025059 Page 4 of 40
