WGU D196 exam with 100% correct answers
b b b b b b b
2024
1. Which budget should include all production costs other than those f
b b b b b b b b b b b
or direct materials and direct labor?
b b b b b
A.Sales budget
b
B.Direct materials budget
b b
C.Manufacturing overhead budget b b
D. Production budget - answer-c
b b b b
2. Which account is a common asset account?
b b b b b b b
A.Accounts payables b
B.Equity
C.Accounts receivable b
D. Utilities Expense - answer-c
b b b b
3 .On which financial statement would you see the valuation of a comp
b b b b b b b b b b b b
any's asset accounts?
b b
a.Statement of Cash Flows b b b
b.Balance Sheet b
c.Income Statement b
d.Statement of Retained Earnings - answer-B b b b b b
4. What is the final step in the accounting cycle?
b b b b b b b b b
a.Summarize the effects of transactions b b b b
,WGU D196 exam with 100% correct answers
b b b b b b b
2024
b.Analyze transactions b
c.Prepare reports b
d.Record the effects of transactions - answer-c
b b b b b b
5. Which of the following is not an example of a transaction?
b b b b b b b b b b b
a.Receive cash in payment of an invoice
b b b b b b
b.Purchase an asset from a supplier b b b b b
c.Sale on credit to a customer
b b b b b
d. Preparing financial statements - answer-d
b b b b b
6. On which financial statement would you see cash flows from financi
b b b b b b b b b b b
ng activities?
b
a.Statement of Cash Flows b b b
b.Balance Sheet b
c.Income Statement b
d.Statement of Retained Earnings - answer-d b b b b b
7. Whose job is it to make sure that investors are provided with full and
b b b b b b b b b b b b b b b
fair information about publicly traded companies?
b b b b b
FASB
AICPA
IASB
,WGU D196 exam with 100% correct answers
b b b b b b b
2024
SEC - answer-d
b b
8. How does a classified balance sheet provide useful information to a
b b b b b b b b b b b b
decision maker? b
a.It distinguishes between current and long-term assets
b b b b b b
b.It provides data that are not publicly disclosed
b b b b b b b
c.It distinguishes liabilities from expenses
b b b b
D. It provides data for a period of time instead of as a point in time -
b b b b b b b b b b b b b b b b
answer-a
b
9. In some companies, the performance measures for profit center ma
b b b b b b b b b b
nagers are heavily influenced by cost allocations downward from organ
b b b b b b b b b
izational units (such as company headquarters). Why is this a mistake?
b b b b b b b b b b
ba.Controllable costs should not be included in the performance evalua
b b b b b b b b b
tion measure of a profit center manager
b b b b b b
b.Revenues should not be included in the performance evaluation mea
b b b b b b b b b
sure of a profit center manager
b b b b b
c.Uncontrollable costs should not be included in the performance eval b b b b b b b b b
uation measure of a profit center manager
b b b b b b
d. Direct costs should not be included in the performance evaluation m
b b b b b b b b b b b
easure of a profit center manager - answer-c
b b b b b b b
10. Which is an example of a product cost?
b b b b b b b b
a.Non-manufacturing personnel costs b b
, WGU D196 exam with 100% correct answers
b b b b b b b
2024
b.Rent Expenseb
c.Office Supplies b
d. Raw materials to make a product - answer-d
b b b b b b b b
11. Which label is given to the cost of wages for factory supervisors?
b b b b b b b b b b b b
a. Direct labor
b b
b.Direct materials b
c. Manufacturing overhead
b b
d. Administrative expenses - answer-c
b b b b
12. A company reports the following data: Price per unit = $20 Variable
b b b b b b b b b b b b b
costs per unit = $12 Fixed costs = $12,000 Given these data, what is the
b b b b b b b b b b b b b b b
variable cost ratio? b b
a. 40%
b
b. 25%
b
c. 16%
b
d. 60% - answer-d
b b b
13. If overhead is underapplied, which statement is true?
b b b b b b b b
a.Actual costs exceed applied costs
b b b b
b.Applied costs exceed actual costs
b b b b
c.Costs will not be affected
b b b b
b b b b b b b
2024
1. Which budget should include all production costs other than those f
b b b b b b b b b b b
or direct materials and direct labor?
b b b b b
A.Sales budget
b
B.Direct materials budget
b b
C.Manufacturing overhead budget b b
D. Production budget - answer-c
b b b b
2. Which account is a common asset account?
b b b b b b b
A.Accounts payables b
B.Equity
C.Accounts receivable b
D. Utilities Expense - answer-c
b b b b
3 .On which financial statement would you see the valuation of a comp
b b b b b b b b b b b b
any's asset accounts?
b b
a.Statement of Cash Flows b b b
b.Balance Sheet b
c.Income Statement b
d.Statement of Retained Earnings - answer-B b b b b b
4. What is the final step in the accounting cycle?
b b b b b b b b b
a.Summarize the effects of transactions b b b b
,WGU D196 exam with 100% correct answers
b b b b b b b
2024
b.Analyze transactions b
c.Prepare reports b
d.Record the effects of transactions - answer-c
b b b b b b
5. Which of the following is not an example of a transaction?
b b b b b b b b b b b
a.Receive cash in payment of an invoice
b b b b b b
b.Purchase an asset from a supplier b b b b b
c.Sale on credit to a customer
b b b b b
d. Preparing financial statements - answer-d
b b b b b
6. On which financial statement would you see cash flows from financi
b b b b b b b b b b b
ng activities?
b
a.Statement of Cash Flows b b b
b.Balance Sheet b
c.Income Statement b
d.Statement of Retained Earnings - answer-d b b b b b
7. Whose job is it to make sure that investors are provided with full and
b b b b b b b b b b b b b b b
fair information about publicly traded companies?
b b b b b
FASB
AICPA
IASB
,WGU D196 exam with 100% correct answers
b b b b b b b
2024
SEC - answer-d
b b
8. How does a classified balance sheet provide useful information to a
b b b b b b b b b b b b
decision maker? b
a.It distinguishes between current and long-term assets
b b b b b b
b.It provides data that are not publicly disclosed
b b b b b b b
c.It distinguishes liabilities from expenses
b b b b
D. It provides data for a period of time instead of as a point in time -
b b b b b b b b b b b b b b b b
answer-a
b
9. In some companies, the performance measures for profit center ma
b b b b b b b b b b
nagers are heavily influenced by cost allocations downward from organ
b b b b b b b b b
izational units (such as company headquarters). Why is this a mistake?
b b b b b b b b b b
ba.Controllable costs should not be included in the performance evalua
b b b b b b b b b
tion measure of a profit center manager
b b b b b b
b.Revenues should not be included in the performance evaluation mea
b b b b b b b b b
sure of a profit center manager
b b b b b
c.Uncontrollable costs should not be included in the performance eval b b b b b b b b b
uation measure of a profit center manager
b b b b b b
d. Direct costs should not be included in the performance evaluation m
b b b b b b b b b b b
easure of a profit center manager - answer-c
b b b b b b b
10. Which is an example of a product cost?
b b b b b b b b
a.Non-manufacturing personnel costs b b
, WGU D196 exam with 100% correct answers
b b b b b b b
2024
b.Rent Expenseb
c.Office Supplies b
d. Raw materials to make a product - answer-d
b b b b b b b b
11. Which label is given to the cost of wages for factory supervisors?
b b b b b b b b b b b b
a. Direct labor
b b
b.Direct materials b
c. Manufacturing overhead
b b
d. Administrative expenses - answer-c
b b b b
12. A company reports the following data: Price per unit = $20 Variable
b b b b b b b b b b b b b
costs per unit = $12 Fixed costs = $12,000 Given these data, what is the
b b b b b b b b b b b b b b b
variable cost ratio? b b
a. 40%
b
b. 25%
b
c. 16%
b
d. 60% - answer-d
b b b
13. If overhead is underapplied, which statement is true?
b b b b b b b b
a.Actual costs exceed applied costs
b b b b
b.Applied costs exceed actual costs
b b b b
c.Costs will not be affected
b b b b
