WGU D775 Updated Actual Exam Question
and Answer (2026/2027) | Final Review
• Finance -✓✓ Future-focused discipline managing assets/liabilities to plan growth,
allocate resources, and maximize value. Example: Deciding whether to invest
surplus cash in new equipment or marketing.
• Personal Finance -✓✓ Managing an individual's money, including budgeting,
investing, saving, debt repayment, and retirement planning. Example: Creating a
monthly budget to save for a home.
• Public Finance -✓✓ Government management of taxation, spending, and public
debt to stabilize the economy and provide public services. Example: Issuing
municipal bonds to build new schools.
• Business Finance -✓✓ Corporate decision-making on raising capital, investing in
projects, and managing risks. Example: A startup raising equity funding from
venture capitalists to launch a new product.
• Common Stock -✓✓ Equity ownership in a company with voting rights and
variable dividends. Last to be paid in liquidation. Example: Shares of Apple
(AAPL).
• Preferred Stock -✓✓ Equity ownership with fixed dividends and priority over
common stock in payouts, usually without voting rights.
• Bonds -✓✓ Debt securities where issuers borrow from investors, repaying
principal plus interest.
, • Corporate Bonds -✓✓ Higher yield and risk; issued by companies.
• Municipal Bonds -✓✓ Issued by local governments; often tax-free interest
income.
• Treasury Securities -✓✓ U.S. government debt with low risk; includes T-bills,
notes, and bonds.
• Options -✓✓ Derivatives giving the right (not obligation) to buy/sell an asset at a
set price before expiration.
• Futures -✓✓ Contracts obligating buy/sell at a set price on a future date.
• Mutual Funds -✓✓ Pooled investments managed by professionals; priced once
daily (NAV).
• ETFs -✓✓ Exchange-Traded Funds — trade like stocks; often track an index.
• Hedge Funds -✓✓ High-risk pooled investments seeking high returns; open to
accredited investors.
• Pension Funds -✓✓ Investment pools for employee retirement benefits.
• Public Markets -✓✓ Regulated exchanges like NYSE and NASDAQ; high
liquidity and transparency.
and Answer (2026/2027) | Final Review
• Finance -✓✓ Future-focused discipline managing assets/liabilities to plan growth,
allocate resources, and maximize value. Example: Deciding whether to invest
surplus cash in new equipment or marketing.
• Personal Finance -✓✓ Managing an individual's money, including budgeting,
investing, saving, debt repayment, and retirement planning. Example: Creating a
monthly budget to save for a home.
• Public Finance -✓✓ Government management of taxation, spending, and public
debt to stabilize the economy and provide public services. Example: Issuing
municipal bonds to build new schools.
• Business Finance -✓✓ Corporate decision-making on raising capital, investing in
projects, and managing risks. Example: A startup raising equity funding from
venture capitalists to launch a new product.
• Common Stock -✓✓ Equity ownership in a company with voting rights and
variable dividends. Last to be paid in liquidation. Example: Shares of Apple
(AAPL).
• Preferred Stock -✓✓ Equity ownership with fixed dividends and priority over
common stock in payouts, usually without voting rights.
• Bonds -✓✓ Debt securities where issuers borrow from investors, repaying
principal plus interest.
, • Corporate Bonds -✓✓ Higher yield and risk; issued by companies.
• Municipal Bonds -✓✓ Issued by local governments; often tax-free interest
income.
• Treasury Securities -✓✓ U.S. government debt with low risk; includes T-bills,
notes, and bonds.
• Options -✓✓ Derivatives giving the right (not obligation) to buy/sell an asset at a
set price before expiration.
• Futures -✓✓ Contracts obligating buy/sell at a set price on a future date.
• Mutual Funds -✓✓ Pooled investments managed by professionals; priced once
daily (NAV).
• ETFs -✓✓ Exchange-Traded Funds — trade like stocks; often track an index.
• Hedge Funds -✓✓ High-risk pooled investments seeking high returns; open to
accredited investors.
• Pension Funds -✓✓ Investment pools for employee retirement benefits.
• Public Markets -✓✓ Regulated exchanges like NYSE and NASDAQ; high
liquidity and transparency.
