EXAM
Exam Solution
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WGU C201 Business Acumen Exam Preparation Guide 2
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026 A+ GRADE ASSURED COMPLETE SOLUTIONS AND V
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ERIFIED ANSWERS ga
QUESTION 1 ga
Transaction Processing System ga ga
ANSWER
A system that should be accessed by the vice president of sales for a national department store chain w
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ho wants to see the previous day's sales receipts.
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QUESTION 2 ga
Virtual Private Network (VPN)
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ANSWER
A technology that enables employers to work remotely with secure connectivity to the corporate netwo
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rk via the internet.
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QUESTION 3 ga
Cloud Computing Services
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ANSWER
Services that enhance company productivity through better resource utilization, elimination of applicati
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on downtime, and dedication of resources to each user.
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QUESTION 4 ga
Ethical Expectation of Privacy
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ANSWER
,The expectation that employees have privacy from company monitoring for personal letters sent throug
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h the company mail room.
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QUESTION 5 ga
Data Mining Ethical Issues
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ANSWER
Selling customer data for external marketing research raises ethical issues heightened by the capabilitie
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s of data mining.
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QUESTION 6 ga
Spyware Intent ga
ANSWER
The intent to report on a user's internet activity creates a company security issue.
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QUESTION 7 ga
Departmentalization
ANSWER
A company might divide itself into smaller groups that best match the types of customers it services.
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QUESTION 8 ga
Total Productivity
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ANSWER
Output (goods or services) divided by input (human, natural resources, capital).
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QUESTION 9 ga
Liquidity Ratio ga
ANSWER
Current assets divided by current liabilities.
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QUESTION 10 ga
Acid Test ga
,ANSWER
Current assets minus inventory divided by current liabilities.
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QUESTION 11 ga
Inventory Turnover ga
ANSWER
Cost of goods sold divided by average inventory (average of 2013 + 2014).
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QUESTION 12 ga
Receivables Turnover ga
ANSWER
Credit sales divided by average account receivables (average of 2013 + 2014).
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QUESTION 13 ga
Total Assets Turnover
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ANSWER
Sales divided by average total assets.
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QUESTION 14 ga
Liquidity Ratios ga
ANSWER
Ratios that measure the firm's abilities to meet its short-
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term obligations, including the liquidity ratio and acid test.
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QUESTION 15 ga
Activity Ratios ga
ANSWER
Measure management's use of the firm's resources and include all turnover ratios.
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QUESTION 16 ga
Profitability Ratios ga
, ANSWER
Gross profit, net profit, and return on equity.
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QUESTION 17 ga
Gross Profit Marginga ga
ANSWER
Gross profit / sales.
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QUESTION 18 ga
Net Profit Margin
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ANSWER
Net income / sales.
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QUESTION 19 ga
Return on Equity ga ga
ANSWER
Net income / average equity.
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QUESTION 20 ga
Leverage Ratios ga
ANSWER
Measure the extent to which a firm relies on debt financing and includes debt ratio and long-
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term debt to equity.
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QUESTION 21 ga
Debt Ratio ga
ANSWER
Total liabilities / total assets.
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QUESTION 22 ga
Long-term Debt to Equity ga ga ga
Exam Solution
ga
WGU C201 Business Acumen Exam Preparation Guide 2
ga ga ga ga ga ga ga
026 A+ GRADE ASSURED COMPLETE SOLUTIONS AND V
ga ga ga ga ga ga ga
ERIFIED ANSWERS ga
QUESTION 1 ga
Transaction Processing System ga ga
ANSWER
A system that should be accessed by the vice president of sales for a national department store chain w
ga ga ga ga ga ga ga ga ga ga ga ga ga ga ga ga ga ga
ho wants to see the previous day's sales receipts.
ga ga ga ga ga ga ga ga
QUESTION 2 ga
Virtual Private Network (VPN)
ga ga ga
ANSWER
A technology that enables employers to work remotely with secure connectivity to the corporate netwo
ga ga ga ga ga ga ga ga ga ga ga ga ga ga
rk via the internet.
ga ga ga
QUESTION 3 ga
Cloud Computing Services
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ANSWER
Services that enhance company productivity through better resource utilization, elimination of applicati
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on downtime, and dedication of resources to each user.
ga ga ga ga ga ga ga ga
QUESTION 4 ga
Ethical Expectation of Privacy
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ANSWER
,The expectation that employees have privacy from company monitoring for personal letters sent throug
ga ga ga ga ga ga ga ga ga ga ga ga ga
h the company mail room.
ga ga ga ga
QUESTION 5 ga
Data Mining Ethical Issues
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ANSWER
Selling customer data for external marketing research raises ethical issues heightened by the capabilitie
ga ga ga ga ga ga ga ga ga ga ga ga ga
s of data mining.
ga ga ga
QUESTION 6 ga
Spyware Intent ga
ANSWER
The intent to report on a user's internet activity creates a company security issue.
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QUESTION 7 ga
Departmentalization
ANSWER
A company might divide itself into smaller groups that best match the types of customers it services.
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QUESTION 8 ga
Total Productivity
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ANSWER
Output (goods or services) divided by input (human, natural resources, capital).
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QUESTION 9 ga
Liquidity Ratio ga
ANSWER
Current assets divided by current liabilities.
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QUESTION 10 ga
Acid Test ga
,ANSWER
Current assets minus inventory divided by current liabilities.
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QUESTION 11 ga
Inventory Turnover ga
ANSWER
Cost of goods sold divided by average inventory (average of 2013 + 2014).
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QUESTION 12 ga
Receivables Turnover ga
ANSWER
Credit sales divided by average account receivables (average of 2013 + 2014).
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QUESTION 13 ga
Total Assets Turnover
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ANSWER
Sales divided by average total assets.
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QUESTION 14 ga
Liquidity Ratios ga
ANSWER
Ratios that measure the firm's abilities to meet its short-
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term obligations, including the liquidity ratio and acid test.
ga ga ga ga ga ga ga ga
QUESTION 15 ga
Activity Ratios ga
ANSWER
Measure management's use of the firm's resources and include all turnover ratios.
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QUESTION 16 ga
Profitability Ratios ga
, ANSWER
Gross profit, net profit, and return on equity.
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QUESTION 17 ga
Gross Profit Marginga ga
ANSWER
Gross profit / sales.
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QUESTION 18 ga
Net Profit Margin
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ANSWER
Net income / sales.
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QUESTION 19 ga
Return on Equity ga ga
ANSWER
Net income / average equity.
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QUESTION 20 ga
Leverage Ratios ga
ANSWER
Measure the extent to which a firm relies on debt financing and includes debt ratio and long-
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term debt to equity.
ga ga ga
QUESTION 21 ga
Debt Ratio ga
ANSWER
Total liabilities / total assets.
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QUESTION 22 ga
Long-term Debt to Equity ga ga ga