WGU C213 PRE ASSESSMENT FULL
SOLUTION PAPER 2026 QUESTIONS WITH
ANSWERS GRADED A+
◉Which two values affect the measurement of net income?
- Dividends paid
- Stockholder contributions
- Operating expenses
- Ordinary gains and losses. Answer: Operating expenses and
ordinary gains and losses
◉Which two items' subtotals are included in a multi-step income
statement?
- Gross profit
- Total assets
- Current Liabilities
- Income from operations. Answer: Gross profit and income from
operations
◉A furniture company using accrual accounting purchased 20 sofas
in November 2011. In December 2011, 8 of the 20 sofas were sold to
customers. The customers all signed contracts agreeing to pay half
,the amount owed in February 2012 and the remaining half in March
2012. At the time of sale, the company was reasonably sure the
customers would pay the amount owed.
The furniture company pays its salespeople a commission on each
sofa sold, with commissions for December 2011 sales paid in
January 2012.
The furniture company paid $3,000 for advertising that ran in the
local newspaper in November 2011.
In which month should advertising costs be expensed?. Answer:
November 2011
◉In January of year 1, a company began doing business as a
corporation in order to sell technology-related accessories and
services. During its first month of operations, it focused on obtaining
the financing needed to start its operations. In February of year 1,
the company sold inventory costing $25,000 for $75,000 cash.
In February of year 1, the company provided technology-related
services worth $10,000. Customers paid a total of $4,000 in cash for
these services and promised to pay the remainder the following
month.
What will be the total impact of these services provided on the
company's balance sheet other than an increase in cash of $4,000?.
Answer: Accounts receivable will increase 6,000 and retained
earnings will increase 10,000.
, ◉What was the 2012 net profit amount if the 2013 pro-forma net
profit of $187,000 was based on a 22% increase?
-228,140
-182,975
-153,279
-145,860. Answer: 153,279. 153,279 x .22 = 33,721. 153,279 +
33,721 = 187,000.
◉What is is a common category in a statement of cash flows?
- Cash from planning activities
- Cash from production activities
- Cash from marketing activities
- Cash from investing activities. Answer: Cash from investing
activities
◉Which cash flow category would include "cash received from
investors"?
- Cash from financing activities
- Cash from charitable activities
- Cash from investing activities
- Cash from sponsoring activities. Answer: Cash from financing
activities
SOLUTION PAPER 2026 QUESTIONS WITH
ANSWERS GRADED A+
◉Which two values affect the measurement of net income?
- Dividends paid
- Stockholder contributions
- Operating expenses
- Ordinary gains and losses. Answer: Operating expenses and
ordinary gains and losses
◉Which two items' subtotals are included in a multi-step income
statement?
- Gross profit
- Total assets
- Current Liabilities
- Income from operations. Answer: Gross profit and income from
operations
◉A furniture company using accrual accounting purchased 20 sofas
in November 2011. In December 2011, 8 of the 20 sofas were sold to
customers. The customers all signed contracts agreeing to pay half
,the amount owed in February 2012 and the remaining half in March
2012. At the time of sale, the company was reasonably sure the
customers would pay the amount owed.
The furniture company pays its salespeople a commission on each
sofa sold, with commissions for December 2011 sales paid in
January 2012.
The furniture company paid $3,000 for advertising that ran in the
local newspaper in November 2011.
In which month should advertising costs be expensed?. Answer:
November 2011
◉In January of year 1, a company began doing business as a
corporation in order to sell technology-related accessories and
services. During its first month of operations, it focused on obtaining
the financing needed to start its operations. In February of year 1,
the company sold inventory costing $25,000 for $75,000 cash.
In February of year 1, the company provided technology-related
services worth $10,000. Customers paid a total of $4,000 in cash for
these services and promised to pay the remainder the following
month.
What will be the total impact of these services provided on the
company's balance sheet other than an increase in cash of $4,000?.
Answer: Accounts receivable will increase 6,000 and retained
earnings will increase 10,000.
, ◉What was the 2012 net profit amount if the 2013 pro-forma net
profit of $187,000 was based on a 22% increase?
-228,140
-182,975
-153,279
-145,860. Answer: 153,279. 153,279 x .22 = 33,721. 153,279 +
33,721 = 187,000.
◉What is is a common category in a statement of cash flows?
- Cash from planning activities
- Cash from production activities
- Cash from marketing activities
- Cash from investing activities. Answer: Cash from investing
activities
◉Which cash flow category would include "cash received from
investors"?
- Cash from financing activities
- Cash from charitable activities
- Cash from investing activities
- Cash from sponsoring activities. Answer: Cash from financing
activities
