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WGU D102 PRE-ASSESSMENT
EXAM (Actual 2025)WITH
SOLUTIONS
Proper segregation of duties requires that one person not perform three specific
separate functions with respect to a single transaction. Two of those functions
are authorization and record keeping.
What is the third function that should be performed by a different person if
proper segregation of duties is to be maintained? - <<<Answers>>>Custody of
assets
Why are daily cash deposits important? -
<<<Answers>>>They prevent the accumulation of a large amount of cash.
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On July 10, goods were sold for $10,000. Cash of $4,000 was received, and the
$6,000 remainder was on account. The customer returned the goods before
paying any of the remaining $6,000 on account.
Which debit or credit should be included in the journal entry on the seller's
books to record the return of the goods? - <<<Answers>>>Credit accounts
receivable for $6,000
On January 1 of Year 1, a company purchased a machine for $20,000. The
machine is expected to have a 10-year useful life and a salvage value of $1,000.
The company uses straight-line depreciation.
What is the book value of this machine at the end of
Year 6? - <<<Answers>>>$8,600
On January 1 of Year 1, a company purchased a machine for $10,000. The
machine is expected to have a five-year useful life and a salvage value of
$2,000. The company uses double-declining balance depreciation.
What is the amount of depreciation expense on this machine for Year 2? -
<<<Answers>>>$2,400
On January 1 of Year 1, a company purchased a patent for $400,000. The patent
had an original legal life of 20 years, but only eight years remained on the date
the patent was purchased. The patent is expected to have continuing economic
value during this eight years. The patent is assumed to have zero salvage value
at the end of its economic useful life. The company uses straightline
amortization.
What is the book value of this patent at the end of Year
3? - <<<Answers>>>$250,000
How does a company report an externally purchased trademark in its financial
statements? -
<<<Answers>>>As an asset in the balance sheet
A company purchased a patent from another company for $5,000 cash.
WGU D102 PRE-ASSESSMENT
EXAM (Actual 2025)WITH
SOLUTIONS
Proper segregation of duties requires that one person not perform three specific
separate functions with respect to a single transaction. Two of those functions
are authorization and record keeping.
What is the third function that should be performed by a different person if
proper segregation of duties is to be maintained? - <<<Answers>>>Custody of
assets
Why are daily cash deposits important? -
<<<Answers>>>They prevent the accumulation of a large amount of cash.
, EMAIL US ;
On July 10, goods were sold for $10,000. Cash of $4,000 was received, and the
$6,000 remainder was on account. The customer returned the goods before
paying any of the remaining $6,000 on account.
Which debit or credit should be included in the journal entry on the seller's
books to record the return of the goods? - <<<Answers>>>Credit accounts
receivable for $6,000
On January 1 of Year 1, a company purchased a machine for $20,000. The
machine is expected to have a 10-year useful life and a salvage value of $1,000.
The company uses straight-line depreciation.
What is the book value of this machine at the end of
Year 6? - <<<Answers>>>$8,600
On January 1 of Year 1, a company purchased a machine for $10,000. The
machine is expected to have a five-year useful life and a salvage value of
$2,000. The company uses double-declining balance depreciation.
What is the amount of depreciation expense on this machine for Year 2? -
<<<Answers>>>$2,400
On January 1 of Year 1, a company purchased a patent for $400,000. The patent
had an original legal life of 20 years, but only eight years remained on the date
the patent was purchased. The patent is expected to have continuing economic
value during this eight years. The patent is assumed to have zero salvage value
at the end of its economic useful life. The company uses straightline
amortization.
What is the book value of this patent at the end of Year
3? - <<<Answers>>>$250,000
How does a company report an externally purchased trademark in its financial
statements? -
<<<Answers>>>As an asset in the balance sheet
A company purchased a patent from another company for $5,000 cash.
