WGU D514 PRE ASSESSMENT AND
OA EXAM 2026 ACTUAL EXAM
What is an example of direct materials?
Cost of robotic equipment in making automobiles
Cost of sandpaper in making wood furniture
Cost of saws and hammers in constructing a house
Cost of aluminum in making an airplane - Correct answer-Cost of aluminum in
making an airplane
What is the effect of a company's accounting department maintaining high ethical
standards?
The company can hire fewer accountants to do the same amount of work.
The company can report more favorable results in its financial statements.
The company's accounting information will increase in value.
The company's accounting information will decrease in value. - Correct answer-
The company's accounting information will increase in value.
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,Why might employees be interested in their company's financial accounting
information?
Financial statement data are used to record long term liabilities.
Financial statement data are often used in determining employee bonuses.
Financial statement data provide item-by-item product cost information.
Financial statement data provide detailed internal budget information. - Correct
answer-Financial statement data are often used in determining employee bonuses.
Which group establishes financial accounting rules in the United States?
Internal Revenue Service (IRS)
Financial Accounting Standards Board (FASB)
International Accounting Standards Board (IASB)
American Institute of Certified Public Accountants (AICPA) - Correct answer-
Financial Accounting Standards Board (FASB)
Which report is one of the three primary financial statements?
Statement of management accounting
Statement of the accounting cycle
Statement of stakeholder funds
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, Statement of cash flows - Correct answer-Statement of cash flows
A company paid $5,000 cash in advertising costs.
How does this transaction affect the paying company's accounting equation?
Assets decrease by $5,000; liabilities increase by $5,000.
Assets increase by $5,000; expenses increase by $5,000.
Assets decrease by $5,000; expenses increase by $5,000.
Assets decrease by $5,000; revenues increase by $5,000. - Correct answer-Assets
decrease by $5,000; expenses increase by $5,000.
What is a transaction?
Two parties exchanging something of value
A type of commonly used accounting software
A category of merchandiser or retailer
An example of an online business document - Correct answer-Two parties
exchanging something of value
A company borrowed $80,000 cash from a bank.
How does this transaction affect the accounting equation of the borrowing
company?
©COPYRIGHT 2025, ALL RIGHTS RESERVED 3
OA EXAM 2026 ACTUAL EXAM
What is an example of direct materials?
Cost of robotic equipment in making automobiles
Cost of sandpaper in making wood furniture
Cost of saws and hammers in constructing a house
Cost of aluminum in making an airplane - Correct answer-Cost of aluminum in
making an airplane
What is the effect of a company's accounting department maintaining high ethical
standards?
The company can hire fewer accountants to do the same amount of work.
The company can report more favorable results in its financial statements.
The company's accounting information will increase in value.
The company's accounting information will decrease in value. - Correct answer-
The company's accounting information will increase in value.
©COPYRIGHT 2025, ALL RIGHTS RESERVED 1
,Why might employees be interested in their company's financial accounting
information?
Financial statement data are used to record long term liabilities.
Financial statement data are often used in determining employee bonuses.
Financial statement data provide item-by-item product cost information.
Financial statement data provide detailed internal budget information. - Correct
answer-Financial statement data are often used in determining employee bonuses.
Which group establishes financial accounting rules in the United States?
Internal Revenue Service (IRS)
Financial Accounting Standards Board (FASB)
International Accounting Standards Board (IASB)
American Institute of Certified Public Accountants (AICPA) - Correct answer-
Financial Accounting Standards Board (FASB)
Which report is one of the three primary financial statements?
Statement of management accounting
Statement of the accounting cycle
Statement of stakeholder funds
©COPYRIGHT 2025, ALL RIGHTS RESERVED 2
, Statement of cash flows - Correct answer-Statement of cash flows
A company paid $5,000 cash in advertising costs.
How does this transaction affect the paying company's accounting equation?
Assets decrease by $5,000; liabilities increase by $5,000.
Assets increase by $5,000; expenses increase by $5,000.
Assets decrease by $5,000; expenses increase by $5,000.
Assets decrease by $5,000; revenues increase by $5,000. - Correct answer-Assets
decrease by $5,000; expenses increase by $5,000.
What is a transaction?
Two parties exchanging something of value
A type of commonly used accounting software
A category of merchandiser or retailer
An example of an online business document - Correct answer-Two parties
exchanging something of value
A company borrowed $80,000 cash from a bank.
How does this transaction affect the accounting equation of the borrowing
company?
©COPYRIGHT 2025, ALL RIGHTS RESERVED 3
