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WGU D196 OBJECTIVE ASSESSMENT FINAL EXAM
VERSION 3 2025/2026 NEWEST ACTUAL EXAM WITH
COMPLETE QUESTIONS AND VERIFIED ANSWERS
|ALREADY GRADED A+|
A retail company purchased inventory costing $100,000. By the
end of the year, inventory costing $75,000 had been sold.
How is the remaining $25,000 in inventory reported in the
financial statements?
-As an asset in the balance sheet
-As manufacturing overhead in the income statement
-As a liability in the balance sheet
-As an administrative expense in the income statement -
ANSWER-As an asset in the balance sheet
How are the wages of cashiers classified in a merchandising
company?
-Work-in-process inventory
-Selling expense
-Manufacturing overhead
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-Cost of goods sold - ANSWER-Selling expense
How are wages of office staff in a company headquarters building
classified?
-Direct labor
-Administrative expense
-Manufacturing overhead
-Indirect labor - ANSWER-Administrative expense
Which label is given to the cost of the wood used in the
construction of a piece of wooden furniture?
-Manufacturing overhead
-Direct materials
-Direct labor
-Selling and administrative - ANSWER-Direct materials
Which label is given to the cost of electricity in a furniture factory?
-Direct materials
-Administrative expenses
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-Direct labor
-Manufacturing overhead - ANSWER-Manufacturing overhead
What is the sequence of the flow of costs through a
manufacturing operation?
-Raw materials, work-in-process, finished goods, cost of goods
sold
-Finished goods, cost of goods sold, raw materials, work-in-
process
-Cost of goods sold, raw materials, work-in-process, finished
goods
-Work-in-process, raw materials, finished goods, cost of goods
sold - ANSWER-Raw materials, work-in-process, finished goods,
cost of goods sold
What is the CVP equation?
Sales - cost of goods sold - fixed costs = profit
Sales - fixed costs - administrative costs = profit
Sales - variable costs - fixed costs = profit
WGU D196 OBJECTIVE ASSESSMENT FINAL EXAM
VERSION 3 2025/2026 NEWEST ACTUAL EXAM WITH
COMPLETE QUESTIONS AND VERIFIED ANSWERS
|ALREADY GRADED A+|
A retail company purchased inventory costing $100,000. By the
end of the year, inventory costing $75,000 had been sold.
How is the remaining $25,000 in inventory reported in the
financial statements?
-As an asset in the balance sheet
-As manufacturing overhead in the income statement
-As a liability in the balance sheet
-As an administrative expense in the income statement -
ANSWER-As an asset in the balance sheet
How are the wages of cashiers classified in a merchandising
company?
-Work-in-process inventory
-Selling expense
-Manufacturing overhead
, Page |2
-Cost of goods sold - ANSWER-Selling expense
How are wages of office staff in a company headquarters building
classified?
-Direct labor
-Administrative expense
-Manufacturing overhead
-Indirect labor - ANSWER-Administrative expense
Which label is given to the cost of the wood used in the
construction of a piece of wooden furniture?
-Manufacturing overhead
-Direct materials
-Direct labor
-Selling and administrative - ANSWER-Direct materials
Which label is given to the cost of electricity in a furniture factory?
-Direct materials
-Administrative expenses
, Page |3
-Direct labor
-Manufacturing overhead - ANSWER-Manufacturing overhead
What is the sequence of the flow of costs through a
manufacturing operation?
-Raw materials, work-in-process, finished goods, cost of goods
sold
-Finished goods, cost of goods sold, raw materials, work-in-
process
-Cost of goods sold, raw materials, work-in-process, finished
goods
-Work-in-process, raw materials, finished goods, cost of goods
sold - ANSWER-Raw materials, work-in-process, finished goods,
cost of goods sold
What is the CVP equation?
Sales - cost of goods sold - fixed costs = profit
Sales - fixed costs - administrative costs = profit
Sales - variable costs - fixed costs = profit
