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WGU D775 Exam Questions and Answers — Western Governors University, 2026/2027, Exam questions and answers

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This document contains WGU D775 Introduction to Business Finance exam questions and answers covering core business finance concepts and financial decision-making principles. It provides a review resource for studying financial management, analysis, and other key topics relevant to the D775 assessment.

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WGU D775




WGU D775 EXAM QUESTIONS AND ANSWERS



What is the time orientation of business finance? - correct
answer Future projections and planning




Why use financial ratios? - correct answer Evaluate and
improve business performance


What is the primary objective of business finance? - correct
answer Maximizing shareholder value




What is the purpose of corporate bonds? - correct answer
Finance operations and expansions

, WGU D775



What are financial derivatives based on? - correct answer
Underlying assets, indexes, or rates


What is a future contract? - correct answer Standardized
contract to buy/sell at future date/price


How do hedge funds differ from mutual funds? - correct
answer Use diverse strategies; sophisticated investors only




How do funds diversify? - correct answer Pool money to invest
in a variety of assets


What do junk bonds offer? - correct answer Higher risk &
higher returns


What is a key advantage of ETFs? - correct answer Trade all day
like stocks


What is an example of a dealer market? - correct answer
NASDAQ

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Uploaded on
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Type
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