WGU D076 OA Exam comprehensive questions |
FREQUENTLY MOST TESTED QUESTIONS AND
VERIFIED SOLUTIONS @ 2026 WGU D076 Finance
Skills for Managers OA Prep
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UNIT 2 2. Agency problem due to conflicting interests
A company's officers and board of
directors are selling their stocks in Correct! Accounting manipulation by management
the firm at higher prices due to false in pursuit of higher stock-related compensation is
accounting reports that made the an example of an agency problem.
stock seem more valuable than it
truly was. Which ethical issue is
occurring in this situation?
1. Conflict between work and
personal affairs
2. Agency problem due to
conflicting interests
3. Pursuing individual interest over
client interests
4. Maximizing shareholder value
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UNIT 2 4. Primary market
In which type of market would a
company issue bonds or stocks for Correct! This is the purpose of a primary market.
the first time?
1. Dealer market
2. Money market
3. Secondary market
4. Primary market
UNIT 2 4. Accepting a wide variety of deposits, offering
What are the main services offered investment products, providing loans, and
by financial institutions? brokering financial transactions
1. Deciding which assets to invest in Correct! Financial institutions such as banks,
to create wealth in the future insurance companies, and mutual fund companies
provide these services.
2. Soliciting charitable donations and
then managing the distribution of
these funds
3. Evaluating sources of funding for a
business project, the capital
structure of a firm, or actions
managers could take to increase the
value of the firm
4. Accepting a wide variety of
deposits, offering investment
products, providing loans, and
brokering financial transactions
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UNIT 2 2. The accepted standards of conduct that guide a
What does the term ethical refer to? person's behavior
1. An idea or thing used as a measure, Correct! Ethical refers to the accepted standards of
norm, or model in comparative conduct that guide a person's behavior.
evaluations
2. The accepted standards of
conduct that guide a person's
behavior
3. Following the laws and rules set
by an authority
4. One's beliefs about right and
wrong, good and bad, or just and
unjust
UNIT 2 4. To maximize individual utility
What is the main objective of
personal financial goals? Correct! You set goals and act to increase your
satisfaction or happiness by taking care of
1. To maximize stock investments necessities and achieving priorities.
2. To maximize owner wealth
3. To maximize charity donations
4. To maximize individual utility
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UNIT 2 4. Pension funds
Which financial institution specializes
in managing and administering Correct! Pension funds specialize in retirement
retirement funds? funds.
1. Mutual funds
2. Investment banks
3. Private equity
4. Pension funds
UNIT 2 2. Making financing decisions
Which task does the financial
manager of a firm perform that Correct! Once investment decisions are made, a
involves the issuance of new stocks financial manager considers different possibilities
and bonds? of financing sources for the investments. This may
include issuing new stocks and bonds.
1. Deciding on accounting standards
2. Making financing decisions
3. Managing working capital
4. Making investing decisions
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