WGU D196 – Principles of Financial and Managerial Accounting: Study Guide | 2026 Update

D196 – Principles of Financial and Managerial Accounting:
Study Guide


UNIT 2:
Accounting Information (Module 1) – Complete the following activities:
 Read/Listen to all the module content. Watch all the embedded videos.
 Complete all the Knowledge Checks.
 Complete the Module 1 quiz.

You should be able to answer the following questions after studying this module:
 What is the role and purpose of Accounting?
 Who uses accounting information and why?
 What are the important influences on Accounting?
 What is the role of ethics in Accounting?

The Accounting Cycle (Module 2) – Complete the following activities:
 Read/Listen to all the module content. Watch all the embedded videos.
 Complete all the Knowledge Checks.
 Complete the Module 2 quiz.

You should be able to answer the following questions after studying this module:
 What is the Accounting Cycle and how does it work?
o Can you explain the Accounting Cycle?
o Can you explain the rules for debits and credits?
o Identify financial accounts of asset, liability, owner’s equity accounts (list some at
least 2 of each).
 Assets:
 Liabilities:
 Owner’s equity:
 What is the Accounting Equation?
o Can you explain the ‘basic’ accounting equation?
o Identify how financial transactions affect the accounting equation.
 Give an example of an asset increasing and decreasing
 Give an example of an owner’s equity increasing and decreasing
 Give an example of a liability increasing and decreasing

Upon completion of Unit 2 (Modules 1 and 2) – Complete the following activities:
 Review the Unit 2 Summary.
 Complete the Unit 2 Test.

UNIT 3:

, Financial Statements Overview (Module 3) – Complete the following activities:
 Read/Listen to all the module content. Watch all the embedded videos.
 Complete all the Knowledge Checks.
 Complete the Module 3 quiz.

You should be able to answer the following questions after studying this module:
 What are the four financial statements covered in this module course?
 What does form 10-K provide to users?
o When is form 10-K required to be filed?
o How do you access a company’s 10-K?
o What is EDGAR?
 Can you define and explain the purpose of the Balance Sheet and the components that
it contains?
 Can you define and explain the purpose of the Income Statement and the components
that it contains?
 Can you define and explain the purpose of the Statement of Retained Earnings and the
components that it contains?
 Can you define and explain the purpose of the Statement of Cash Flows and the
components that it contains?
 Can you explain the importance Notes to the Financial Statements and what is included
in these notes?

Analyzing Financial Statements (Module 4) – Complete the following activities:
 Read/Listen to all the module content. Watch all the embedded videos.
 Complete all the Knowledge Checks.
 Complete the Module 4 quiz.

You should be able to answer the following questions after reviewing this module:
 What are common-size financial statements and how are they used?
 What is horizontal analysis and what information does it provide?
 What is vertical analysis and what information does it provide?
 Can you use Excel to construct these analyses? Note that you have practice within this
course. Apply what you learned in your D100 Spreadsheets course that you completed
earlier this term.

Upon completion of Unit 3 (Modules 3 and 4) – Complete the following activities:
 Review the Unit 3 Summary.
 Complete the Unit 3 Test.

UNIT 4:
Budgeting Cash Flows (Module 5) – Complete the following activities:
 Read/Listen to all the module content. Watch all the embedded videos.
 Complete all the Knowledge Checks.