WGU D076 OA EXAM WITH COMPLETE SOLUTIONS 100%
VERIFIED 2025-2026!!
What does high inventory turnover relative to the industry and competitors reveal?
Models are required by the SEC when a firm wants to sell more stock on the public
market.
The firm has too much inventory and is successfully selling its good and services.
Models allow users to see the complex relationships between sales and other aspects of
the business.
The firm does not hold enough inventory and is making its customers wait longer to
receive their purchased goods. -
ANSWER>>The firm does not hold enough inventory and is making its customers wait
longer to receive their purchased goods.
What is the ratio that tells you on average how long it takes for a firm to collect accounts
receivable.
Average Benchmarking
Opportunity cost
Average collection period
Leading indicator - ANSWER>>Average collection period
Interest rate has three different names for different purposes and perspectives:
Discount rate, required rate and cost of capital.
,Required rate, correlated indicator, opportunity cost
Cost of capital, interest rate and renew rate
required rate, discount method, cost of interest - ANSWER>>Interest rate has three
different names for different purposes and perspectives: Discount rate, required rate
and cost of capital.
What is the point of charging interest?
It can be a good tool in summarizing the required return, interest is a detriment since it
is calling for higher cost of capital.
The larger risk an investor takes, the larger the amount of return to be expected to be
received.
Compounding interests are good, to understand time value of money, yet at the same
time it is considered a detriment when one considers, as well the factor of inflation.
It allows borrowers to pay to use the assets of another entity to accomplish their own
goals. - ANSWER>>It allows borrowers to pay to use the assets of another entity to
accomplish their own goals.
The required rate of return is also referred to as the BLANK when referring to corporate
finance.
Inflation
Hurdle rate
Opportunity cost
Risk - ANSWER>>Hurdle rate
BLANK is the return or reward that an investor or lender will require to be satisfied with
investments such as stocks, bonds, or loans.
Hurdle rate
,Inflation
Opportunity cost
Required rate of return - ANSWER>>Required rate of return
BLANK Is the potential that the actual or realized return will not be the same as the
expected return?
Hurdle rate.
Inflation
Opportunity cost
Risk - ANSWER>>Risk
What two elements of an interest rate does it tell something about inflation and
opportunity cost?
Capital growth rate
Risk-free rate
Sustainable growth rate
Sales growth rate - ANSWER>>Risk-free rate
What is the name for the interest rate expressed on an annual basis?
Sustainable growth rate
Historical regression
Annual percentage rate
Annual Percent of sales - ANSWER>>Annual percentage rate
Why is the required rate of return also known as the hurdle rate?
, It is simple and helps ensure that users do not spend more than the cash that they have
available.
It is the minimum rate that a firm must exceed to accept the project.
It allows the integration of bank and credit card accounts to refresh automatically the
income and expenses.
It is the maximum rate that a firm must exceed to reject a project. - ANSWER>>It is the
minimum rate that a firm must exceed to accept the project.
You want to purchase a house and get a mortgage for which you can afford the monthly
mortgage payment. What action have you done in terms of financial decision-making?
Profit turnover
Gross margin
Financing
Accounts receivable turnover - ANSWER>>Financing
Which component of finance deals with finding the assets where an investor shall place
their capital in order to have wealth for some time period into the future?
Financial forecasting
Ratio analysis
Accounting
Investments - ANSWER>>Investments
Hannah is the financial manager. A project has been approved and will cost $5million.
As the firm does not have sufficient cash on reserve, she must determine how to raise
enough money to begin the project. She can use bonds, new stocks, a mortgage loan or
some combination of these. What is Hannah doing in this scenario?
VERIFIED 2025-2026!!
What does high inventory turnover relative to the industry and competitors reveal?
Models are required by the SEC when a firm wants to sell more stock on the public
market.
The firm has too much inventory and is successfully selling its good and services.
Models allow users to see the complex relationships between sales and other aspects of
the business.
The firm does not hold enough inventory and is making its customers wait longer to
receive their purchased goods. -
ANSWER>>The firm does not hold enough inventory and is making its customers wait
longer to receive their purchased goods.
What is the ratio that tells you on average how long it takes for a firm to collect accounts
receivable.
Average Benchmarking
Opportunity cost
Average collection period
Leading indicator - ANSWER>>Average collection period
Interest rate has three different names for different purposes and perspectives:
Discount rate, required rate and cost of capital.
,Required rate, correlated indicator, opportunity cost
Cost of capital, interest rate and renew rate
required rate, discount method, cost of interest - ANSWER>>Interest rate has three
different names for different purposes and perspectives: Discount rate, required rate
and cost of capital.
What is the point of charging interest?
It can be a good tool in summarizing the required return, interest is a detriment since it
is calling for higher cost of capital.
The larger risk an investor takes, the larger the amount of return to be expected to be
received.
Compounding interests are good, to understand time value of money, yet at the same
time it is considered a detriment when one considers, as well the factor of inflation.
It allows borrowers to pay to use the assets of another entity to accomplish their own
goals. - ANSWER>>It allows borrowers to pay to use the assets of another entity to
accomplish their own goals.
The required rate of return is also referred to as the BLANK when referring to corporate
finance.
Inflation
Hurdle rate
Opportunity cost
Risk - ANSWER>>Hurdle rate
BLANK is the return or reward that an investor or lender will require to be satisfied with
investments such as stocks, bonds, or loans.
Hurdle rate
,Inflation
Opportunity cost
Required rate of return - ANSWER>>Required rate of return
BLANK Is the potential that the actual or realized return will not be the same as the
expected return?
Hurdle rate.
Inflation
Opportunity cost
Risk - ANSWER>>Risk
What two elements of an interest rate does it tell something about inflation and
opportunity cost?
Capital growth rate
Risk-free rate
Sustainable growth rate
Sales growth rate - ANSWER>>Risk-free rate
What is the name for the interest rate expressed on an annual basis?
Sustainable growth rate
Historical regression
Annual percentage rate
Annual Percent of sales - ANSWER>>Annual percentage rate
Why is the required rate of return also known as the hurdle rate?
, It is simple and helps ensure that users do not spend more than the cash that they have
available.
It is the minimum rate that a firm must exceed to accept the project.
It allows the integration of bank and credit card accounts to refresh automatically the
income and expenses.
It is the maximum rate that a firm must exceed to reject a project. - ANSWER>>It is the
minimum rate that a firm must exceed to accept the project.
You want to purchase a house and get a mortgage for which you can afford the monthly
mortgage payment. What action have you done in terms of financial decision-making?
Profit turnover
Gross margin
Financing
Accounts receivable turnover - ANSWER>>Financing
Which component of finance deals with finding the assets where an investor shall place
their capital in order to have wealth for some time period into the future?
Financial forecasting
Ratio analysis
Accounting
Investments - ANSWER>>Investments
Hannah is the financial manager. A project has been approved and will cost $5million.
As the firm does not have sufficient cash on reserve, she must determine how to raise
enough money to begin the project. She can use bonds, new stocks, a mortgage loan or
some combination of these. What is Hannah doing in this scenario?
