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WGU Accounting for Decision Makers C213 VAC2 Sample Questions:

1. Which action should a managerial accountant consider taking if confronted by an ethical conflict?

A) Confer with any stakeholder in the organization
B) Consult with a coworker
C) Report directly to the chief executive officer
D) Use an objective advisor confidentially

2. Last year, X Corporation had sales of $500,000 and total expenses of $300,000. A manager of the company is entitled to get a sales commission of 10% of net profit.
What amount of sales commission is to be recognized at year-end?

A) $20,000
B) $10,000
C) $30,000
D) $50,000

3. In September, an airline using accrual accounting received cash from a round-trip ticket sold to a customer for
$1,500. The ticket allowed the customer to fly from Denver to Hawaii in October and from Hawaii back to Denver in November.
When should the airline recognize revenue?

A) In September, October, and November
B) In October and November
C) Only in September
D) Only in November

4. How are activity-based costing systems different from traditional costing systems?

A) Activity-based costing systems provide a more precise assignment of overhead costs when multiple products are manufactured than traditional costing systems do
B) Activity-based costing systems require less time and expense to administer than traditional costing systems
C) Activity-based costing systems are based on a single cost driver and traditional costing systems are based on multiple cost drivers
D) Activity-based costing systems are used with homogeneous products while traditional costing systems are used with heterogeneous products

5. What are two examples of product costs?
Choose 2 answers.

A) Direct labor
B) Raw materials
C) Selling and administrative expenses
D) Period expenses

Solutions: