WGU D101 Cost and Managerial
Accounting Actual Questions and Answers
Latest Updated 2025/2026 (Graded A+)
Consist of:
WGU D101 Cost and Managerial
Accounting
Questions and Answers
Latest Updated
Guaranteed Pass
mailto:https://www.stuvia.com/user/Wisdoms
, 1. What is a price taker?:
Answer A company that has to accept the price that the market sets for a good. They have no
influence over setting the price.
2. What is a price maker?:
Answer a firm possessing the power to set the price within the market. They still need to track
all costs in order to make sure they are making an adequate return.
3. What is the major purpose and use of job order costing?
a. To create a system that tracks both manufacturing and period
costs and assigns both to products
b. To create a system in which manufacturing costs are tracked by
period instead of by products
c. To create a system in which manufacturing costs are accumulated
by sepa- rate product orders or batches
d. To create a system that is exclusively used by price makers and not
by price takers:
Answer c.
4. Which statement is true?
a. Having accurate product or service cost information is important
for both price takers and price makers.
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, b. Having accurate product or service cost information is important
for price takers, but not price makers.
c. Having accurate produce or service cost information is not
important for either price takers or price makers.
d. Having accurate product or service cost information is important
for price makers, but not price takers.:
Answer a.
5. Two competitors exist in the same industry. The first company has
accurate product cost information while the second company does
not.
What is the reason behind why the first company is more successful than
the
mailto:https://www.stuvia.com/user/Wisdoms
, second?
a. With accurate job cost information, the first company can
undercut the second company's prices, thus driving the second
company out of business.
b. With accurate job cost information, the first company can set
prices that guarantee making a profit, can understand which costs need
to be worked on, and can determine which actions can be taken to
make the company more efficient and profitable.
c. With accurate job cost information, the first company can pay higher
wages to employees, thus motivating them more than the employees
of the second company.
d. With accurate job cost information, the first company can set prices
higher than the second company, thus earning higher profits.:
Answer b.
6. Job order costing is appropriate when which two conditions exist?
a. Products produced are all the same, and the manufacturing processes
used to produce them are the same.
b. Products produced are distinct from each other, and the
manufacturing processes used are different for different products.
mailto:https://www.stuvia.com/user/Wisdoms
Accounting Actual Questions and Answers
Latest Updated 2025/2026 (Graded A+)
Consist of:
WGU D101 Cost and Managerial
Accounting
Questions and Answers
Latest Updated
Guaranteed Pass
mailto:https://www.stuvia.com/user/Wisdoms
, 1. What is a price taker?:
Answer A company that has to accept the price that the market sets for a good. They have no
influence over setting the price.
2. What is a price maker?:
Answer a firm possessing the power to set the price within the market. They still need to track
all costs in order to make sure they are making an adequate return.
3. What is the major purpose and use of job order costing?
a. To create a system that tracks both manufacturing and period
costs and assigns both to products
b. To create a system in which manufacturing costs are tracked by
period instead of by products
c. To create a system in which manufacturing costs are accumulated
by sepa- rate product orders or batches
d. To create a system that is exclusively used by price makers and not
by price takers:
Answer c.
4. Which statement is true?
a. Having accurate product or service cost information is important
for both price takers and price makers.
mailto:https://www.stuvia.com/user/Wisdoms
, b. Having accurate product or service cost information is important
for price takers, but not price makers.
c. Having accurate produce or service cost information is not
important for either price takers or price makers.
d. Having accurate product or service cost information is important
for price makers, but not price takers.:
Answer a.
5. Two competitors exist in the same industry. The first company has
accurate product cost information while the second company does
not.
What is the reason behind why the first company is more successful than
the
mailto:https://www.stuvia.com/user/Wisdoms
, second?
a. With accurate job cost information, the first company can
undercut the second company's prices, thus driving the second
company out of business.
b. With accurate job cost information, the first company can set
prices that guarantee making a profit, can understand which costs need
to be worked on, and can determine which actions can be taken to
make the company more efficient and profitable.
c. With accurate job cost information, the first company can pay higher
wages to employees, thus motivating them more than the employees
of the second company.
d. With accurate job cost information, the first company can set prices
higher than the second company, thus earning higher profits.:
Answer b.
6. Job order costing is appropriate when which two conditions exist?
a. Products produced are all the same, and the manufacturing processes
used to produce them are the same.
b. Products produced are distinct from each other, and the
manufacturing processes used are different for different products.
mailto:https://www.stuvia.com/user/Wisdoms
