WGU D196 Objective Assessment Final Exam

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WGU D196 Objective Assessment Final Exam Version 1 Newest 2025-2026 Complete All 180 Questions And Correct Detailed Answers (Verified Answers) |Already Graded A+||Brand New Version!

Which event represents a transaction recorded as part of the financial accounting cycle?

• The hiring of a new employee
• The marketing department's press release about a new product
• The company's press release announcing a new factory
• The sale of a product for cash or on account - ANSWER-d. The sale

of a product for cash or on account

A company sells a product to a customer on account. Which part(s) of the accounting equation does this particular transaction change?

• Both assets and owners' equity
• Both assets and liabilities
• Liabilities only 1 / 4

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• Assets only - ANSWER-a. Both assets and owners' equity

This transaction changes both assets and owners' equity to keep the accounting equation in balance.

What is an example of an internal transaction?

• An employee is transferred from one department to another.
• A company sells goods to a customer.
• A company pays rent to its landlord.
• An employee purchases supplies from another company. - ANSWER-
• An employee is transferred from one department to another.

An internal transaction occurs within the company instead of with an external party, and it is not recorded in the company's books

Oliver is an accountant for a restaurant supply business that sells dishes, table linens, and food preparation equipment to restaurants. In preparing the January financial statements for the company, Oliver must consider all of the financial events that occurred during the month, including purchases from vendors, sales to customers, and other transactions.What is the first step of the financial accounting cycle that Oliver will perform?

• Analyze transactions
• Prepare reports 2 / 4

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• Summarize the effects of transactions
• Record the effects of transactions - ANSWER-a. Analyze transactions

Oliver is an accountant for a restaurant supply business that sells dishes, table linens, and food preparation equipment to restaurants. In preparing the January financial statements for the company, Oliver must consider all of the financial events that occurred during the month, including purchases from vendors, sales to customers, and other transactions.Which item is a liability?

• Inventory
• Cash
• Buildings
• Mortgage - ANSWER-d. Mortgage

Oliver is an accountant for a restaurant supply business that sells dishes, table linens, and food preparation equipment to restaurants. In preparing the January financial statements for the company, Oliver must consider all of the financial events that occurred during the month, including purchases from vendors, sales to customers, and other transactions.Which of the items listed should Oliver record as an external transaction?

• Announcement of the building of a new facility 3 / 4

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• Transfers of cash from one department to another
• Payments of wages to employees
• Purchases of inventory from suppliers - ANSWER-d. Purchases of

inventory from suppliers

Oliver is an accountant for a restaurant supply business that sells dishes, table linens, and food preparation equipment to restaurants. In preparing the January financial statements for the company, Oliver must consider all of the financial events that occurred during the month, including purchases from vendors, sales to customers, and other transactions.After Oliver records each transaction, how should he ensure that the accounting equation remains in balance?

• Add up the balances in all of the liability accounts and compare them

to the sum of all the assets and owners' equity accounts

• Add up the balance in all of the owners' equity accounts
• Add up the balances in all of the asset accounts and compare them to

the sum of all the liability and owners' equity accounts Correct! Because Assets = Liabilities + Owners' Equity, this is the correct way to determine the equality of the accounting equation.

• Add u - ANSWER-c. Add up the balances in all of the asset accounts

and compare them to the sum of all the liability and owners' equity accounts Because Assets = Liabilities + Owners' Equity, this is the correct way to determine the equality of the accounting equation.

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