WGU D774 INTRODUCTION TO BUSINESS
ACCOUNTING EXAM ACTUAL TEST PAPER
2026 QUESTIONS WITH SOLUTIONS GRADED
A+
◉ An accounting method that records revenues and expenses when
they are earned or incurred, not when cash changes hands.. Answer:
Accrual Accounting
◉ The formula Assets = Liabilities + Equity, which underpins the
balance sheet.. Answer: Accounting Equation
◉ Resources owned by a business that have value and can generate
future benefit.. Answer: Assets
◉ Independent verification that financial information or internal
controls are reliable and comply with relevant standards.. Answer:
Assurance
◉ A professional who examines financial records and controls to
assess accuracy and compliance.. Answer: Auditor
, ◉ A snapshot of a company's financial position at a given time,
showing assets, liabilities, and equity.. Answer: Balance Sheet
◉ The level of sales at which total revenue equals total costs,
resulting in neither profit nor loss.. Answer: Break-Even Point
◉ The gradual increase in a budget over time due to repeated small
increases that go unchallenged.. Answer: Budget Creep
◉ The difference between what was budgeted and what actually
occurred in financial performance.. Answer: Budget Variance
◉ The process of planning and managing income and expenses over
a specific period to meet financial goals.. Answer: Budgeting
◉ Educational activities that professionals engage in to maintain,
improve, and expand their skills and knowledge within their field..
Answer: Continuing Professional Education
◉ The amount remaining from sales revenue after variable costs are
deducted; used to cover fixed costs and contribute to profit.. Answer:
Contribution Margin
ACCOUNTING EXAM ACTUAL TEST PAPER
2026 QUESTIONS WITH SOLUTIONS GRADED
A+
◉ An accounting method that records revenues and expenses when
they are earned or incurred, not when cash changes hands.. Answer:
Accrual Accounting
◉ The formula Assets = Liabilities + Equity, which underpins the
balance sheet.. Answer: Accounting Equation
◉ Resources owned by a business that have value and can generate
future benefit.. Answer: Assets
◉ Independent verification that financial information or internal
controls are reliable and comply with relevant standards.. Answer:
Assurance
◉ A professional who examines financial records and controls to
assess accuracy and compliance.. Answer: Auditor
, ◉ A snapshot of a company's financial position at a given time,
showing assets, liabilities, and equity.. Answer: Balance Sheet
◉ The level of sales at which total revenue equals total costs,
resulting in neither profit nor loss.. Answer: Break-Even Point
◉ The gradual increase in a budget over time due to repeated small
increases that go unchallenged.. Answer: Budget Creep
◉ The difference between what was budgeted and what actually
occurred in financial performance.. Answer: Budget Variance
◉ The process of planning and managing income and expenses over
a specific period to meet financial goals.. Answer: Budgeting
◉ Educational activities that professionals engage in to maintain,
improve, and expand their skills and knowledge within their field..
Answer: Continuing Professional Education
◉ The amount remaining from sales revenue after variable costs are
deducted; used to cover fixed costs and contribute to profit.. Answer:
Contribution Margin
