WGU D076 EXAM / WGU D076 FINANCIAL SKILLS FOR
MANANGER LATEST EXAM 2024 ACTUAL QUESTIONS
AND WELL ELABORATED ANSWERS WITH RATIONALES
(VERIFIED ANSWERS) LATEST UPDATED VERSION 2024|
ALREADY GRADED A+
FINANCIAL ENVIRONMENT
In which way is accounting different from finance?
1. Accounting is backward looking, while finance is focused on the future.
2. Accounting forecasts future performance, given the past, while finance records
past performance.
3. Accounting is focused on allocating capital, while finance is focused on bringing in
capital.
4. Accounting is about budgeting, saving, and borrowing, while finance is about
investing, forecasting, and lending. - ANSWER: 1. Accounting is backward looking,
while finance is focused on the future.
FINANCIAL ENVIRONMENT
What is the main question that both individuals and companies must consider when
making financial decisions to reach a goal?
1. Will utility be maximized through this decision?
2. Will this decrease the amount of cash available?
3. Will this decision require debt or equity financing?
4. Will the benefits of the action outweigh the costs? - ANSWER: 3. Will this decision
require debt or equity financing?
FINANCIAL ENVIRONMENT
A financial manager at a company is trying to determine whether to issue new stocks
or new bonds to cover the costs of a project the company is doing the next year.
Which main task in business finance is this situation an example of?
1. Making financing decisions
2. Managing working capital
3. Making investment decisions
,4. Managing interdepartmental loans - ANSWER: 1. Making financing decisions
FINANCIAL ENVIRONMENT
How can investing help a person reach personal financial goals?
1. It helps a person understand how money was spent previously in order to reliably
predict future expenses.
2. It ensures money is placed in a safe, risk-free, and easily accessible financial asset.
3. It provides access to potential revenue or increases in value to help meet goals
faster.
4. It provides a guaranteed future outcome in order to predictably meet financial
goals. - ANSWER: 3. It provides access to potential revenue or increases in value to
help meet goals faster.
FINANCIAL ENVIRONMENT
A sign company is planning to have an initial public offering (IPO). In which type of
market will its stock first be sold to the public?
1. Primary market
2. Efficient market
3. Secondary market
4. Money market - ANSWER: 1. Primary market
FINANCIAL ENVIRONMENT
Which type of economic indicator changes after the economy changes and helps
identify trends in the long term?
1. Coincident indicator
2. Yield curve indicator
3. Lagging indicator
4. Leading indicator - ANSWER: 3. Lagging indicator
FINANCIAL ENVIRONMENT
How does an investment institution, such as a mutual fund, facilitate the circulation
of money in the economy?
1. By raising capital on a contractual basis, such as an insurance contract
, 2. By providing individuals and firms access to financial markets to buy or sell
financial securities
3. By insuring deposits in investment accounts up to $250,000 to promote public
confidence
4. By accepting deposits of money, paying interest on deposits, and providing loans
to individuals and organizations - ANSWER: 2. By providing individuals and firms
access to financial markets to buy or sell financial securities
FINANCIAL ENVIRONMENT
Which type of economic indicator is used by governments and policymakers to
implement or alter policies in an effort to avoid or minimize the effects of an
economic downturn?
1. Lagging indicator
2. Correlated indicator
3. Leading indicator
4. Coincident indicator - ANSWER: 3. Leading indicator
FINANCIAL ENVIRONMENT
Suppose an individual does not eat chocolate because eating chocolate goes against
personal beliefs. Which type of standard is this?
1. Legal
2. Moral
3. Financial
4. Ethical - ANSWER: 2. Moral
FINANCIAL ENVIRONMENT
Which action is based upon moral standards?
1. Although there is no company policy regarding it, a financial manager chooses not
to accept gifts from the company's clients to avoid creating a conflict of interest.
2. As mandated by government regulations, a financial manager files a registration
statement with the U.S. Securities and Exchange Commission (SEC) before offering
equity securities for sale.
MANANGER LATEST EXAM 2024 ACTUAL QUESTIONS
AND WELL ELABORATED ANSWERS WITH RATIONALES
(VERIFIED ANSWERS) LATEST UPDATED VERSION 2024|
ALREADY GRADED A+
FINANCIAL ENVIRONMENT
In which way is accounting different from finance?
1. Accounting is backward looking, while finance is focused on the future.
2. Accounting forecasts future performance, given the past, while finance records
past performance.
3. Accounting is focused on allocating capital, while finance is focused on bringing in
capital.
4. Accounting is about budgeting, saving, and borrowing, while finance is about
investing, forecasting, and lending. - ANSWER: 1. Accounting is backward looking,
while finance is focused on the future.
FINANCIAL ENVIRONMENT
What is the main question that both individuals and companies must consider when
making financial decisions to reach a goal?
1. Will utility be maximized through this decision?
2. Will this decrease the amount of cash available?
3. Will this decision require debt or equity financing?
4. Will the benefits of the action outweigh the costs? - ANSWER: 3. Will this decision
require debt or equity financing?
FINANCIAL ENVIRONMENT
A financial manager at a company is trying to determine whether to issue new stocks
or new bonds to cover the costs of a project the company is doing the next year.
Which main task in business finance is this situation an example of?
1. Making financing decisions
2. Managing working capital
3. Making investment decisions
,4. Managing interdepartmental loans - ANSWER: 1. Making financing decisions
FINANCIAL ENVIRONMENT
How can investing help a person reach personal financial goals?
1. It helps a person understand how money was spent previously in order to reliably
predict future expenses.
2. It ensures money is placed in a safe, risk-free, and easily accessible financial asset.
3. It provides access to potential revenue or increases in value to help meet goals
faster.
4. It provides a guaranteed future outcome in order to predictably meet financial
goals. - ANSWER: 3. It provides access to potential revenue or increases in value to
help meet goals faster.
FINANCIAL ENVIRONMENT
A sign company is planning to have an initial public offering (IPO). In which type of
market will its stock first be sold to the public?
1. Primary market
2. Efficient market
3. Secondary market
4. Money market - ANSWER: 1. Primary market
FINANCIAL ENVIRONMENT
Which type of economic indicator changes after the economy changes and helps
identify trends in the long term?
1. Coincident indicator
2. Yield curve indicator
3. Lagging indicator
4. Leading indicator - ANSWER: 3. Lagging indicator
FINANCIAL ENVIRONMENT
How does an investment institution, such as a mutual fund, facilitate the circulation
of money in the economy?
1. By raising capital on a contractual basis, such as an insurance contract
, 2. By providing individuals and firms access to financial markets to buy or sell
financial securities
3. By insuring deposits in investment accounts up to $250,000 to promote public
confidence
4. By accepting deposits of money, paying interest on deposits, and providing loans
to individuals and organizations - ANSWER: 2. By providing individuals and firms
access to financial markets to buy or sell financial securities
FINANCIAL ENVIRONMENT
Which type of economic indicator is used by governments and policymakers to
implement or alter policies in an effort to avoid or minimize the effects of an
economic downturn?
1. Lagging indicator
2. Correlated indicator
3. Leading indicator
4. Coincident indicator - ANSWER: 3. Leading indicator
FINANCIAL ENVIRONMENT
Suppose an individual does not eat chocolate because eating chocolate goes against
personal beliefs. Which type of standard is this?
1. Legal
2. Moral
3. Financial
4. Ethical - ANSWER: 2. Moral
FINANCIAL ENVIRONMENT
Which action is based upon moral standards?
1. Although there is no company policy regarding it, a financial manager chooses not
to accept gifts from the company's clients to avoid creating a conflict of interest.
2. As mandated by government regulations, a financial manager files a registration
statement with the U.S. Securities and Exchange Commission (SEC) before offering
equity securities for sale.
