WGU D196 WGU D196 100 Exam Questions with

pg. 1 WGU D196/ WGU D196 100 Exam Questions with Correct Verified Answers/ Latest Update 2024.

• Which budget should include all production costs other than those for direct materials and direct

labor?

• Sales budget
• Direct materials budget
• Manufacturing overhead budget
• Production budget - ANSWER - c

• Which account is a common asset account?
• Accounts payables
• Equity
• Accounts receivable
• Utilities Expense - ANSWER - c

• .On which financial statement would you see the valuation of a company's asset accounts?
• Statement of Cash Flows
• Balance Sheet
• Income Statement
• Statement of Retained Earnings - ANSWER - B

• What is the final step in the accounting cycle?
• Summarize the effects of transactions
• Analyze transactions
• Prepare reports 1 / 3

pg. 2

• Record the effects of transactions - ANSWER - c

• Which of the following is not an example of a transaction?
• Receive cash in payment of an invoice
• Purchase an asset from a supplier
• Sale on credit to a customer
• Preparing financial statements - ANSWER - d

• On which financial statement would you see cash flows from financing activities?
• Statement of Cash Flows
• Balance Sheet
• Income Statement
• Statement of Retained Earnings - ANSWER - d

• Whose job is it to make sure that investors are provided with full and fair information about publicly

traded companies?

a) FASB

b) AICPA

c) IASB

d) SEC - ANSWER - d

• How does a classified balance sheet provide useful information to a decision maker?
• It distinguishes between current and long-term assets
• It provides data that are not publicly disclosed
• It distinguishes liabilities from expenses
• It provides data for a period of time instead of as a point in time - ANSWER - a

• In some companies, the performance measures for profit center managers are heavily influenced by

cost allocations downward from organizational units (such as company headquarters). Why is this a mistake? 2 / 3

pg. 3

• Controllable costs should not be included in the performance evaluation measure of a profit center

manager

• Revenues should not be included in the performance evaluation measure of a profit center manager
• Uncontrollable costs should not be included in the performance evaluation measure of a profit center

manager

• Direct costs should not be included in the performance evaluation measure of a profit center manager
• ANSWER - c

• Which is an example of a product cost?
• Non-manufacturing personnel costs
• Rent Expense
• Office Supplies
• Raw materials to make a product - ANSWER - d

• Which label is given to the cost of wages for factory supervisors?
• Direct labor
• Direct materials
• Manufacturing overhead
• Administrative expenses - ANSWER - c

• A company reports the following data: Price per unit = $20 Variable costs per unit = $12 Fixed costs =

$12,000 Given these data, what is the variable cost ratio?

• 40%
• 25%
• 16%
• 60% - ANSWER - d

• If overhead is underapplied, which statement is true?
• Actual costs exceed applied costs
• Applied costs exceed actual costs
• / 3