1
D775 WGU SECTION 1 EXAM NEWEST VERSION -2025/2026-
100+ QUESTIONS AND VERIFIED ANSWERS 100% CORRECT
GUARANTEED SUCCESS
What is the main purpose of pension funds?
To ensure growth and sustainability of retirement savings
Three Roles of Business Finance
1. Using financial ratios to manage the business
2. Applying skills with time value of money to determine which projects to invest
in
3. Controlling the risk associated with projects by computing the cost of capital to
determine how to fund the chosen projects
What is business finance?
The use of financial measures to help management make decisions
What is another term for business finance?
Corporate finance
Three types of finance
Personal, public, and business
Personal Finance
Managing individual or household finance activities (e.g., budgeting, investing)
Public Finance
Government financial management, including taxation and budgeting
Business Finance
, 2
Managing company finances, including investment decisions, risk management,
and raising capital
Which is a characteristic of business finance?
Strategic future planning
One of three roles of business finance that involves computing financial measures:
_______ analysis
Ratio Analysis
While accounting is focused on historical data, finance is focused on
_____________ financial outcomes and projections.
Future
The process of recording, summarizing, and reporting financial transactions to
provide transparency and compliance in financial statements:
Accounting
The area of finance that helps manage individual and household financial
activities:
Personal
One of the three roles of business finance: controlling ___________ associated
with projects by determining how to fund them.
Risk
One of the 3 roles of business finance that involves applying skills with time value
of money to determine which projects to invest in: __________ budgeting
Capital
The management of assets, liabilities, and financial planning to optimize the use
of resources for business growth and stability.
Finance
D775 WGU SECTION 1 EXAM NEWEST VERSION -2025/2026-
100+ QUESTIONS AND VERIFIED ANSWERS 100% CORRECT
GUARANTEED SUCCESS
What is the main purpose of pension funds?
To ensure growth and sustainability of retirement savings
Three Roles of Business Finance
1. Using financial ratios to manage the business
2. Applying skills with time value of money to determine which projects to invest
in
3. Controlling the risk associated with projects by computing the cost of capital to
determine how to fund the chosen projects
What is business finance?
The use of financial measures to help management make decisions
What is another term for business finance?
Corporate finance
Three types of finance
Personal, public, and business
Personal Finance
Managing individual or household finance activities (e.g., budgeting, investing)
Public Finance
Government financial management, including taxation and budgeting
Business Finance
, 2
Managing company finances, including investment decisions, risk management,
and raising capital
Which is a characteristic of business finance?
Strategic future planning
One of three roles of business finance that involves computing financial measures:
_______ analysis
Ratio Analysis
While accounting is focused on historical data, finance is focused on
_____________ financial outcomes and projections.
Future
The process of recording, summarizing, and reporting financial transactions to
provide transparency and compliance in financial statements:
Accounting
The area of finance that helps manage individual and household financial
activities:
Personal
One of the three roles of business finance: controlling ___________ associated
with projects by determining how to fund them.
Risk
One of the 3 roles of business finance that involves applying skills with time value
of money to determine which projects to invest in: __________ budgeting
Capital
The management of assets, liabilities, and financial planning to optimize the use
of resources for business growth and stability.
Finance
