D364 WGU Financial Management 1 |Covers all major domains Complete OA Study Guide 2026| Western Governors University

D364 WGU Financial Management 1 Covers all major domains
Complete OA Study Guide 2026 Western Governors University




WGU Financial Management 1
Complete OA Study Guide


Covers all major domains: Financial Statements · DuPont · Working Capital · Trade Credit · AFN ·
Cash Budgeting · Capital Budgeting · WACC · Capital Structure · Dividends




DOMAIN 1: Financial Statements & Analysis


Key Financial Statements
Statement What It Shows Time Frame

Income Statement Revenues, expenses, net income Over a period

Balance Sheet Assets, liabilities, equity Point in time

Cash Flow Statement Operating, investing, financing flows Over a period

Statement of Retained Earnings Changes in retained earnings Over a period


Key Ratios
Liquidity Ratios
Current Ratio = Current Assets / Current Liabilities

Quick Ratio = (Current Assets - Inventory) / Current Liabilities

, Profitability Ratios
Net Profit Margin = Net Income / Sales

ROA = Net Income / Total Assets

ROE = Net Income / Equity

Efficiency Ratios
Asset Turnover = Sales / Total Assets

Inventory Turnover = COGS / Average Inventory

AR Turnover = Sales / Average AR

AP Turnover = COGS / Average AP